CHINA Law and Practice Contributed by: Qian Xiaoqiang, Yang Yikai and Chu Linxian, Haiwen & Partners
7.2 Use of AI and Algorithms The Competition Authorities have shown increas - ing concern about the use of AI and pricing algo - rithms in antitrust area, which is reflected in the regulations and guidelines issued by the authority. In particular, Article 9 of the 2022 Amendment stipulates that undertakings shall not use data, algorithms, etc, to engage in any monopolistic practice, which provides a statutory basis for the enforcement agency. The State Council and vari - ous provincial competition authorities have also issued anti-monopoly guidelines for the platform economy – warning platform operators against using algorithms to reach monopolistic agree - ments, such as fixing or altering prices. In addi - tion, the Interim Measures for the Administration of Generative AI Services specifically stipulates that the provision and use of generative AI servic - es must respect intellectual property, commercial ethics, and confidentiality, and must not use algo - rithms, data, or platform advantages to engage in monopolistic or unfair competition behaviour. While the PRC has not yet seen an established car - tel case solely based on AI-driven tools or pricing algorithms, there have been other anti-competitive enforcement actions involving the use of such tool. In the two well-known “either/or choice” cases in 2021 where two platform companies in China were punished by the Competition Authorities for abuse of dominance, AI systems were employed to facili - tate monopolistic behaviour. 7.3 Monopolisation as a Cartel Offence Monopolisation and cartel offences are normally regulated under different provisions of the AML. Monopolisation is primarily addressed under the Articles in relation to the abuse of dominance, while cartel offences fall under the Articles in relation to monopolistic agreements. Therefore, monopolisa - tion is not directly viewed as a cartel offence.
7.4 Focus on Certain Industries/Sectors In recent years, the pharmaceutical and public utilities sectors have consistently been key regu - latory focuses. For the pharmaceutical industry, the Competi - tion Authorities have published at least 18 deci - sions from 2021 to 2024, of which eight cases involve cartel offences. On 19 March 2025, the Shanghai AMR penalised three pharmaceutical companies for a horizontal monopoly agree - ment, and for the first time, individuals respon - sible for the monopoly agreement were also held accountable, marking a significant breakthrough in enforcement. From the statutory perspective, following the Guidelines on Antitrust in the field of Active Pharmaceutical Ingredients published in 2021, the Antitrust Guidelines for the Phar - maceutical Sector was published on 23 January 2025, replacing the old guidelines and indicat - ing the Competition Authorities’ focus on this particular sector. As it is directly connected with people’s liveli - hoods, the public utilities sector has always been a key focus of law enforcement. Based on the estimated data, over 20% of cartel cases from 2021–2024 involve the public utilities sector. In addition to the above-mentioned industries, at the beginning of 2025, SAMR said that the platform economy and other sectors related to public welfare (including natural monopolies) will still remain the key regulatory focus. For more information, see 1.8 Enforcement Pri- orities . 7.5 Use of Messaging Applications and Chat Platforms The Competition Authorities rely on the general rules on evidence preservation under the AML
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