Eleven months after it was promulgated, China's new Anti-Monopoly Law (AML) officially came into force on August 1 2008. The AML targets three types of private "monopolistic conduct": anticompetitive monopoly agreements, abuse of a dominant market position and concentrations that are likely to eliminate or restrict competition.
It has the potential to dramatically alter antitrust in China, which has previously lacked the will (if not the means) to eradicate many manifest anti-competitive practices. However, it is clear the AML has had a soft launch. Provisions specifying the regulatory agencies responsible for enforcing the law have only recently been promulgated, and just one of the anticipated implementation rules has been introduced. These rules will clarify the law's scope and the intended approach to various broad and ambiguous provisions.
This is causing considerable anxiety for lawyers and businesses. In particular, many companies are concerned that they cannot conduct the comprehensive business reviews...