Convergence with Chinese Characteristics? A Cross-Jurisdictional Comparative Study of Recent Merger Enforcement in China
Since China’s Anti-Monopoly Bureau within the Ministry of Commerce (MOFCOM) began implementing merger reviews, the agency has intervened in 30 cases—two blocked deals and 28 conditional approvals. In this Antitrust article, Dr. Fei Deng of Edgeworth Economics and Cunzhen Huang of Cleary Gottlieb Steen & Hamilton conduct a cross-jurisdictional comparison between each of MOFCOM’s 28 conditional clearances and the corresponding decision of its counterparts in the United States and European Union.
Through a comparison of key characteristics—review time, remedy type, and specific terms imposed—the authors find that while certain aspects of China’s approach are unique (e.g., a preference on the part of MOFCOM for behavioral remedies), there is a general trend toward convergence (e.g., less use of extreme remedies like hold-separates by MOFCOM and more frequent use of behavioral remedies recently in the United States). The study provides important insights into the recent trends in merger enforcement in China and guidance for practitioners on preparing and tailoring their merger filings for different jurisdictions.
Antitrust, Vol. 31, No. 2, Spring 2017. © 2017 by the American Bar Association. Reproduced with permission. All rights reserved. This information or any portion thereof may not be copied or disseminated in any form or by any means or stored in an electronic database or retrieval system without the express written consent of the American Bar Association.