Antitrust Laws have been implemented in various countries. Some countries have followed the policy of regulation and antitrust laws diligently while some have struggled to come up with a coherent piece of legislation. One of the most notable developments has occurred in the Asian country, China, which introduced its Anti-Monopoly Law on August 1, 2008. The importance of the law was amply clear when it came into force because of the amount of time spent drafting it: 13 years. This was a big step for the aspiring superpower and naturally, corporations and lawyers have followed the progress and growth of this law and the impact it would have on their vested interests. The Anti-Monopoly Law has covered most aspects with its draft and final regulations and complaints were filed for monopolistic conduct, it is important to look at the changes on the Mergers and Acquisitions side. It has been made amply clear that China’s Anti-Monopoly Law and its merger control regime has become one of the biggest antitrust obstacles for transnational transactions only behind the European Union and the United States.
The Anti Monopoly Law introduced by China was the first comprehensive Antitrust law. The lawmakers in China made sure that their first comprehensive antitrust law would be inclusive of most mainstream competition laws. It stands on the three pillars that are foundations of most contemporary antitrust legislation with chapters on ‘monopoly agreements’, ‘abuse of dominant market position’ and a chapter which covers M&As and joint ventures. The Law also boasts a distinct portion talking about abuse of administrative authority giving rise to local protectionism along with businesses possessing exclusive distribution rights. It has a multilevel structure with the State Council at the top of it. The Anti Monopoly Law is also responsible for the formation of a new body known as the Anti-Monopoly Commission which researches and drafts competition policy, develops guidelines and fulfils tasks and objectives assigned by the State Council. The apex body has designated three bodies that already existed with implementation responsibilities; the State Administration for Industry & Commerce, the National Development and Reform Commission and the Ministry of Commerce. The State Administration for Industry & Commerce has the responsibility of implementing the Anti Monopoly Law against violations except for pricing conduct. The Ministry of Commerce is the secretariat for the Anti Monopoly Enforcement Authority which has the task of enforcing the Anti Monopoly Law against violations of competition laws in international trade.
The implementation of the Anti Monopoly Law has resulted in the Ministry of Commerce issuing procedural measures on pre-merger notifications and provisional rules on necessary divestitures. Furthermore, the State Council has announced specific size-of-transaction thresholds. World's third major antitrust measure is definitely a huge leap towards understanding the need for regulation and its implications.