CHINA Law and Practice Contributed by: Liu Cheng and Li Yumeng (Audrey), King & Wood Mallesons
very closely in the context of multi-jurisdictional filings. In specific cases, SAMR may ask the notifying parties to grant a waiver so that it can discuss the non-confidential aspects of a transaction with other competition authorities. 8. Appeals and Judicial Review 8.1 Access to Appeal and Judicial Review According to Article 65 of the AML, where the parties are dissatisfied with a decision (in respect of concentrations) made by SAMR, they may appeal to SAMR for an administrative review. Where the parties are still not satisfied with the administrative review, they may bring an admin - istrative action before the intermediate court at the location of SAMR. In March 2025, the Beijing Intellectual Prop - erty Court issued a landmark ruling on Tobishi v SAMR (with Simcere as the third party) – the first case in which a notifying party challenged a merger decision by SAMR through judicial pro - ceedings. The Simcere/Tobishi case also marks the first below-threshold transaction approved with restrictive conditions in China. Tobishi is the sole manufacturer of batroxobin injections in China, while Simcere is the sole distributor of batroxobin API in China and was also develop - ing batroxobin injections, making it a potential entrant to the relevant market. After receiving voluntary filings from both Simcere and Tobishi, SAMR conditionally approved the transaction with several restrictive conditions such as termi - nating the exclusive supply agreement between Simcere and DSM for batroxobin API in China,
and divestiture of Simcere’s batroxobin injec - tions business which it had been developing. Tobishi subsequently filed a request for admin - istrative review, but SAMR upheld the condi - tional approval decision. In March 2024, Tobishi brought the case before the Court and the Court once again upheld the validity of the conditional approval decision. As no appeal was filed, the court ruling is now effective. 8.2 Typical Timeline for Appeals To appeal a decision, the parties need to first apply for an administrative review with SAMR within 60 days from the date they receive the official decision issued by SAMR. If the parties are not satisfied with the result of the admin - istrative review, they may file for administrative litigation within 15 days after receipt of the result of the administrative review. We are not aware of any successful appeals in practice. 8.3 Ability of Third Parties to Appeal Clearance Decisions Stakeholders to the decisions have the right to bring an administrative action to challenge SAMR’s decisions before the competent court. We are not aware of any successful actions in practice.
9. Foreign Direct Investment/ Subsidies Review
9.1 Legislation and Filing Requirements In addition to the merger control regime, foreign investments into certain business sectors would be subject to NSR.
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