MOFCOM signals merger policy shift, with new ‘carrots and sticks’

On 20 March 2014, China’s Ministry of Commerce (MOFCOM) issued a brief press release. The release said that from 1 May onwards the authority will make public on its website all decisions resulting in a finding that a company has failed to notify a merger in breach of the Anti-Monopoly Law (AML).

This press release is the most recent in a series of developments signalling an important policy shift.

The merger control regime in China has now been in force for more than five years. Many of its key elements are relatively straightforward: if a reportable transaction meets the relevant sales revenue thresholds, a notification must be filed with MOFCOM — and MOFCOM’s approval must be obtained — before the transaction can be implemented…

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