Beijing Targets Food Delivery Giants With Sweeping Regulatory Overhaul
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China’s top market regulator has proposed new rules to tighten oversight of the country’s food delivery giants, aiming to rein in cutthroat competition, shield merchants from excessive platform fees, and improve protections for the nation’s army of gig workers.
The State Administration for Market Regulation (SAMR) on Wednesday began soliciting public feedback on a set of draft guidelines that would standardize fee practices, clamp down on coercive marketing tactics, and impose labor safeguards across the sector. The move comes amid an intensifying price war between market leader Meituan and rivals like JD.com Inc. and Alibaba Group Holding Ltd., which have flooded the market with subsidies to gain share.
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- China’s market regulator proposed draft rules to standardize fees, curb coercive marketing, and enhance labor protections in the food delivery sector.
- The move follows subsidy-driven competition among Meituan, JD.com, and Alibaba, highlighted by Alibaba’s 50 billion yuan subsidy plan in July.
- Proposed measures include fee transparency, limits on new charges, rider fatigue alerts, and capping daily working hours to ensure fairer competition and worker protection.
- Meituan
- Meituan is a leading food delivery giant in China facing increased oversight from the State Administration for Market Regulation (SAMR). Amidst a price war with rivals like JD.com and Alibaba, Meituan has been urged by regulators to compete fairly and end "vicious subsidies." New draft guidelines aim to standardize fee practices, curb coercive marketing, and improve labor protections for its delivery riders.
- JD.com Inc.
- JD.com Inc. is identified as a rival to market leader Meituan in China's food delivery sector. They officially launched their food delivery service in February, contributing to an intensifying price war marked by subsidies. The company was also among those summoned by China's market regulator, SAMR, for meetings regarding fair competition and pledging to end "vicious subsidies."
- Alibaba Group Holding Ltd.
- Alibaba Group Holding Ltd. is a Chinese e-commerce and technology company. Alibaba has been involved in a "subsidy battle" in the food delivery market, reportedly launching a 50 billion yuan subsidy plan to gain market share through its "Taobao Flash" on-demand delivery service. It has been summoned by the State Administration for Market Regulation (SAMR) multiple times regarding fair competition.
- Ele.me
- Ele.me is an Alibaba-backed food delivery platform that was summoned by China's State Administration for Market Regulation (SAMR) due to competitive practices. The SAMR urged Ele.me, along with Meituan and JD.com, to compete fairly and end "vicious subsidies" in the sector.
- February 2025：
- JD.com officially launched its food delivery service.
- April 2025：
- Alibaba upgraded its on-demand delivery service to 'Taobao Flash.'
- May 2025：
- SAMR summoned Meituan, JD.com, and Alibaba-backed Ele.me to urge fair competition.
- July 2025：
- Alibaba announced a 50 billion yuan ($6.9 billion) subsidy plan for its food delivery service.
- July 2025：
- SAMR held another meeting with major platform operators to promote fair competition.
- September 9, 2025：
- SAMR held a press conference stating that platforms pledged to end 'vicious subsidies.'
- September 24, 2025：
- SAMR began soliciting public feedback on draft guidelines to tighten oversight of food delivery platforms.
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