Beijing, China – China’s market authority has outlined a new framework aimed at tightening oversight of the country’s major internet platforms, with a draft document that sets out expectations for fair conduct and places stricter scrutiny on the use of data-driven decision-making tools.
The State Administration for Market Regulation (SAMR) released the consultation paper over the weekend, signalling a renewed effort to curb behaviour that could distort competition across online retail, food delivery, and travel services.
The draft focuses on how large platforms can use technical systems to influence pricing, access to customers, or the visibility of goods and services. Regulators highlighted a range of scenarios in which automated systems can be used to coordinate behaviour, discourage rivals or create obstacles for businesses seeking to operate independently.
The guidance calls on firms with significant influence over their markets to evaluate their own position regularly and avoid practices that might limit the choices available to merchants or consumers.
Authorities also addressed issues linked to exclusive deals, aggressive price reductions, and restrictions that prevent traders from offering their products on competing services. These examples draw on past enforcement actions and are designed to help companies understand where competitive risks may arise.
The draft emphasises that the regulator expects operators to examine and track the behaviour of the algorithms that underpin functions such as product suggestions, price adjustments and advertising decisions. Supervisors want platforms to identify whether systems produce outcomes that could unfairly disadvantage users or distort normal commercial activity.
Earlier incidents involving sustained discount battles in the food delivery sector, along with concerns about personalised pricing and customer segmentation, prompted closer monitoring of how data and automated tools are deployed by dominant players.
Officials said the platform economy now sits at the centre of China’s consumer market and innovation landscape, and that its scale means any distortion can affect a wide network of participants, from merchants to end-users and workers.
SAMR believes that improving compliance practices will support more stable long-term development in the sector and allow firms to expand internationally with fewer regulatory hurdles.
Public feedback on the draft is being accepted until 29 November, after which the regulator is expected to refine the final version.
