Jan 30, 2021 02:13 PM

China’s Market Overseers Will Get Special Funding to Take On Monopolies

What’s new: China’s Ministry of Finance has promised to provide provincial-level market overseers with funding to investigate and punish monopolies, just as the central government is stepping up antitrust supervision over the country’s tech behemoths like Alibaba Group Holding Ltd.

The ministry will decide how to distribute the money based on suggestions from the national antitrust authority, the State Administration for Market Regulation (SAMR), according to a regulation (link in Chinese) released Friday that will take effect Monday.

The background: China’s policymakers have vowed to strengthen efforts to take on monopolies, and antitrust oversight and punishment have been stepped up, especially against tech platforms. Last month, the SAMR launched an investigation into Alibaba for alleged monopolistic practices.

Market overseers need more manpower and funding for their antitrust efforts, said Huang Wei, a partner at Beijing Tian Yuan Law Firm. “This year is a big year for antitrust. There are many large investigations,” he told Caixin.

Quick Takes are condensed versions of China-related stories for fast news you can use. To read the full story in Chinese, click here.

Contact reporter Guo Yingzhe (yingzheguo@caixin.com) and editor Michael Bellart (michaelbellart@caixin.com)

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