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Bilateral relations > China

The 2001 EU-China Summit earmarked competition policy as one of the areas where the EU-China dialogue should be intensified.

As a result, on 24 November 2003 agreement was reached on the creation of an EU-China Competition Policy Dialogue. The following year on 6 May 2004 the Directorate General for Competition of the European Commission and the Ministry of Commerce of China (MOFCOM) signed the Terms of Reference of the EU-China Competition Policy Dialogue. The Policy Dialogue is a permanent mechanism for consultation and transparency between the EU and China in the competition field as well as the formal framework for the EU's technical cooperation with China which is carried out through the EU-China Competition Cooperation.

Following the entry into force of the Anti-Monopoly Law in China on 1 August 2008 and the designation of the National Development and Reform Commission (NDRC) and the State Administration of Industry and Commerce (SAIC) as enforcement authorities alongside MOFCOM, on 20 September 2012 DG Competition also signed a Memorandum of Understanding on Cooperation in the area of Anti-Monopoly Law with the NDRC and SAIC. The Memorandum of Understanding creates a dedicated framework to strengthen cooperation and coordination between DG Competition and NDRC and SAIC concerning legislation, enforcement and technical cooperation regarding cartels, other restrictive agreements and abuse of dominant market positions.

Since the entry into force of the anti-Monopoly Law, DG Competition has developed its case cooperation which MOFCOM, which is in charge of merger review in China. In a desire to further enhance merger review cooperation DG Competition and MOFCOM developed a cooperation framework, signed in October 2015, which establishes best practices to strengthen cooperation and coordination between the EU and China on reviewing mergers, allowing both sides to share information and discuss timetables at key stages of investigations, to increase their efficiency.

Commissioner Vestager and NDRC Chairman HE Lifeng sign the Memorandum of Understanding, 2 June 2017. In background: Europan Council President Donald Tusk, Chinese Premier Li Keqiang and European Commission President Jean-Claude Juncker

In June 2016; China’s State Council moved to reinforce and expand the role of competition policy in China through the adoption of a Fair Competition Review System, which aims at preventing public policies from distorting and restricting competition while maintaining fair market competition and promoting a unified market. As mentioned in the 2017 EU-China Summit statement, the adoption of the Fair Competition Review System led to the NDRC agreeing to establish a new separate dialogue in the area of the State aid control regime and the Fair Competition Review System.

Key documents and speeches

  
Related links
2016-022 Update on Competition Developments in China: EU-China Competition Law Cooperation . Torben Toft, European Commission