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Anti-monopoly Law Adopted |
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作者:soosun 新闻来源:www.51education.net 点击数: 更新时间:2007-8-31 | |||||
The law requires foreign purchases of Chinese companies to go through national security checks. "As well as anti-monopoly checks stipulated by this law, foreign mergers and acquisitions of domestic companies or foreign capital investing in domestic companies' operations in other forms should go through national security checks according to relevant laws and regulations if the cases are related to the issue," it reads. Foreign companies have begun to acquire major state-owned enterprises or companies with famous brands in recent years, arousing concerns about Foreign investors should apply for approvals from the Ministry of Commerce (MOC) if their purchases of domestic companies affect national economic security, take place in key sectors or cause a transfer of the operating rights of famous domestic brands, according to a regulation issued by the MOC along with five other government organs last year. Before that, only mergers and acquisitions worth more than US$100 million needed MOC checks and approvals. The government will strengthen examination and supervision of foreign merger operations affecting major enterprises in sensitive sectors and issue policies to improve the system for admitting foreign-invested industries by the end of 2010, according to the National Development and Reform Commission (NDRC). The law, with eight chapters and 57 provisions, bans monopolistic agreements, such as cartels and other forms of collusion, and provides for investigation and prosecution of monopolistic practices, while protecting monopolistic agreements that promote innovation and technological advance. The law prohibits monopolies from wielding their dominant status in market to curb competition, fix prices, enforce package sales, and refuse or enforce trade. All companies seeking mergers or acquisitions would have to notify the anti-monopoly law enforcement departments if the actions meet the standard set by the State Council. Experts said
(Xinhua News Agency August 30, 2007) |
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新闻录入:soosun 责任编辑:51education
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