China promises to curb abuses in e-commerce and strengthen the healthy growth of the platform economy.

247 - China's State Administration for Market Regulation (SAMR) said on Friday (22) that it will continue to intensify supervision over live-streamed e-commerce and other platform economy practices, focusing on curbing abuses and strengthening the sustainable development of the sector. The information was published by the newspaper Global Times at a press conference.

According to Deng Zhiyong, vice minister of SAMR, the platform economy in China is undergoing a decisive transformation. Over the past five years, the rapid integration of digital technology with various sectors has driven new business models and sources of growth. However, he warned, this progress has also brought risks such as traffic prioritization, algorithm abuse, and unregulated competition, which affect the health of the digital ecosystem.

Combating irregularities and emblematic cases

During the period of the 14th Five-Year Plan (2021-2025), SAMR intensified investigations and penalties against abusive practices in the sector. Deng highlighted that special attention was paid to e-commerce via live streaming, with relevant cases involving companies such as the Three Sheep group.

Furthermore, the regulatory authority pressured online commerce platforms to eliminate restrictions considered unfair, such as the "refund only" policy, "automatic price adjustments," and the requirement for mandatory freight insurance. Measures were also taken to make fee structures more transparent and fair.

Food delivery platforms, in turn, received guidelines to standardize promotional practices, avoid predatory competition, and contribute to a more balanced environment. According to data released at the press conference, joint campaigns with other government agencies resulted in the removal of... 4,541 million ads for illegal products, in the suspension of 58 online stores and in the treatment of 105 internet-related cases.

Regulation and promotion of the sector

According to Deng, the Chinese government's strategy combines rigor and flexibility. "We maintain a balanced approach to regulation and promotion, combining firmness and flexibility to ensure order in online transactions and foster a cleaner digital environment," he stated.

SAMR also worked on updating the legal framework, revising antitrust and unfair competition laws, and creating national technical committees to standardize the governance of the platform economy. Standards were introduced for the supervision of online transactions, coordination of oversight, and regulation of individual online stores.

Next Steps

The agency has also invested in data-sharing systems to detect irregularities more efficiently and has maintained constant dialogue with merchants, delivery providers, and digital influencers. At large-scale events, such as the "6·18" and "Double 11" shopping festivals, compliance reminders are issued to guide promotions within the bounds of legality.

Looking ahead, Deng Zhiyong assured that SAMR intends to refine the long-term regulatory system, enhancing proactive and comprehensive oversight of the platform economy. "Our goal is to promote the sustained and healthy growth of the digital sector," he concluded.