Antitrust Law Daily Wrap Up, ACQUISITIONS & MERGERS NEWS: EC, China sign best practices cooperation framework, (Oct 15, 2015)

By Jody Coultas, J.D.

The European Commission (EC) and the Ministry of Commerce (Mofcom) of the People's Republic of China signed best practices for cooperation on reviewing mergers. The guidance document signed creates a framework to strengthen cooperation and coordination between the EC and China’s merger review authority.

According to the EC, cooperation between competition authorities increases the efficiency of investigations and reduces the burden on the merging parties, in particular when authorities are able to share information and to discuss timetables with each other and with the merging companies. The guidance will assist communication on issues of procedure and substance, including the definition of relevant markets, theories of harm, competitive impact assessments, and remedies.

The EC concluded Terms of References on the EU-China Competition Policy Dialogue with Mofcom in 2004. In 2012, the EC signed a Memorandum of Understanding with China’s National Development and Reform Commission (NDRC), which enforces the rules against price-related infringements, and the State Administration of Industry and Commerce (SAIC), which is responsible for non-price related infringements. The Memorandum created a dedicated framework to strengthen cooperation and coordination.

News: AcquisitionsMergers