Recently, people’s reflections on the Anti-Monopoly Law have been provoked by the so-called “first anti-monopoly cases” occurring in many places. Termed as the “charter of free enterprise”, the Anti-Monopoly Law performs a key role in several aspects of the country’s competition mechanism and the legal environment for competition. “Companies especially doing services like us, ostracize monopoly very much. So we expect the law can really protect us.” Said the CEO of BPOVIA James Huang, whose company focus on many kinds of services.

The Anti-Monopoly Law aims to protect a fair competition order but not specific market competitors. Through its protection of the established competition pattern, the law aims to help the country realize maximum economic efficiency, promote technological innovation and improve the wellbeing of the massive number of ordinary consumers. With such a goal, it is impossible to try to protect State-owned enterprises against foreign-fund ones in the competition.

During the process of implementation of the law, a lot of issues and many relationships should be taken into consideration including how to best protect efficiency, innovation and the interests of consumers and how to deal with the relationship between the short-term and long-term interests well. How to enforce the Anti-Monopoly Law will therefore be a difficult task facing the authorities compared with other laws.

At the same time, it makes a high professional demand for the enforcers to do the enforcement. But the special nature of the law should not be the barrier for its effective implementation. We should try our best to improve the law by using some reasonable methods, such as make it more detailed.

China has changed a lot in economic legislation. But we still need to make the laws more developed and mature. The Anti-Monopoly Law is also in a similar process.

We should not expect that the Anti-Monopoly Law could change the country’s market a lot in the early stage, although the law has given a place for different market participants to compete freely.

Our task is to make the law more effective to solve some specialized problems under the current legal framework.

First, under the established framework and system of the Anti-Monopoly Law, the country should lay down some corresponding administrative stipulations, department rules and official guidelines in a more detailed manner. These should enrich and perfect the content and system that the law badly needs to fulfill its objectives.

Second, more analyses of more cases should be applied in its implementation. This has also become a trend in many countries while practicing the Anti-Monopoly Law.

Third, the country should attach enough importance to the cultivation of professional anti-monopoly law talents and to forming teams of such people. Other tasks include attaching importance to the appointment and training of law-enforcers, judges, lawyers, and relevant economists, as well as the installment and operation of the executive commission of experts. Interactions among these legal teams will decide the effect of the law’s implementation and will push the Anti-Monopoly Law forward to a maximum.

Now the enforcement department of the anti-Monopoly Law includes personnel from the National Development and Reform Commission, the State Administration of Industry and Commerce and the Ministry of Commerce, which respectively handle price manipulation, market manipulation, and excessive concentration of enterprises. The anti-monopoly commission now makes the three departments coordinate.

However, there possibly have some same functions among the three departments. This will inevitably result in a vacuum in the enforcement of the law. How to coordinate among the three functional departments is also a challenge to implement the Anti-Monopoly Law.

To make it more efficiency, the three departments should firstly communicate well on the law-enforcement standards and on their specific responsibilities. Such an arrangement will reduce the waste of administrative resources and prevent a vacuum from developing in the enforcement of the law.

If the three departments have objections about the enforcement of the law, the anti-monopoly commission should make the final decision.

Implementing the Anti-Monopoly Law effectively is still a difficult task. But we should persist in the goal of “charter of free enterprise”.

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