By Susan Ning, Kate Peng and Weiqing Qiu  King & Wood Mallesons’ Commercial & Regulatory Group

Ountitlednpeng_kate April 7, 2015, the State Administration for Industry and Commerce (“SAIC”) officially published the Rules on Prohibition of Abuses of Intellectual Property Rights for the Purposes of Eliminating or Restricting Competition (“SAIC IP Rules”). This is the first set of rules to implement the general principles recognized by Article 55 of China’s Anti-Monopoly Law (“AML”) in the IPR sector. The SAIC IP Rules introduce a safe harbor mechanism which validates certain intellectual property right (“IPR”) related restraints.

During 2015, the Antitrust Committee under the State Council entrusted four authorities with drafting the Antitrust Guidelines regarding Prohibition of Intellectual Property Abuse (“IP Guidelines”). Amongst the four authorities, SAIC published its seventh version of draft IP Guidelines on February 5 2016 (“draft SAIC IP Guidelines”) and the National Development and Reform Commission (“NDRC”) published their second draft on December 31, 2015 (“draft NDRC IP Guidelines”). Both the SAIC and NDRC draft IP Guidelines set out an IPR sector safe harbor.
Continue Reading The Antitrust Safe Harbor for Exercising IPRs: More Details are Needed for its Scope, Thresholds and Compatibility

Susan Ning and Yin Ranran

On September 2, 2011, China’s Ministry of Commerce ("MOFCOM") released on its website the Provisional Rules on Assessment of Competitive Effects of Concentration of Business Operators (MOFCOM 2011 Announcement No. 55, the "Rules").  With 14 articles, the Rules elaborated on the factors to be considered by MOFCOM in assessing the competitive effects of a business concentration, which have been listed in Article 27 of the Anti-monopoly Law ("AML")1 .  The Rules are implemented as of today (September 5, 2011).

The Rules set out the basic methodology for its competitive analysis and the basic elements for application of each factor in a merger review process.  The Rules appear to identify market share/market control power and market concentration levels as the most important factors to be considered by MOFCOM in assessment of competitive effects of a concentration.Continue Reading MOFCOM’s New Antitrust Rules Shed Light on Its Competitive Assessment Process