Policy & RegulationAnalysis

China Releases 10 Model Cases on Fair Competition Review Implementation

Market regulators showcase regional enforcement models and artificial intelligence tools to dismantle local protectionism.

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The Brief

China's State Administration for Market Regulation (SAMR) released ten model cases highlighting the implementation of the Fair Competition Review Regulations over the past two years. The showcased practices range from Zhejiang's artificial-intelligence-driven policy reviews and the Yangtze River Delta's cross-provincial coordination mechanism to Beijing's multi-tiered supervision system. According to SAMR, regulators plan to deepen source-level policy vetting, enhance supervision, and build grassroots enforcement capabilities in the second half of the year to support China's unified national market initiative.

Why it matters

The fair competition review system is Beijing's primary administrative mechanism to eliminate local protectionism, market fragmentation, and regional trade barriers. By publicizing benchmark provincial practices, SAMR sets clear standards for local governments to prevent discriminatory rules, preferential subsidies, and administrative monopolies that hinder fair market access across regions.

China context

Building a unified national market has become a top priority for Chinese economic policymakers seeking to improve resource allocation and domestic economic efficiency. Sub-national governments have historically relied on regional protectionism and targeted local incentives to meet local economic targets. Institutionalizing fair competition reviews aims to curb these anti-competitive government interventions at the drafting stage.

Editor's View

EDITOR'S VIEW — Analysis and inference, not factual reporting. The selection of model cases illustrates SAMR's strategy of combining technological tools with institutional coordination. Zhejiang's use of artificial intelligence for policy screening reflects a broader shift toward automated compliance, which could help address chronic staffing shortages at local market regulation bureaus. Meanwhile, regional cooperation among Shanghai, Jiangsu, Zhejiang, and Anhui serves as a template for dismantling inter-provincial trade barriers. However, the true test of the review regime remains its ability to rein in powerful local government departments when economic growth pressures incentivize preferential treatment for local champions.

What to watch

  • Implementation details of SAMR's upcoming grassroots capacity-building initiatives and supervision rules in late 2026
  • Potential expansion of cross-provincial fair competition coordination mechanisms from the Yangtze River Delta to the Beijing-Tianjin-Hebei and Chengdu-Chongqing regions
  • Adoption rates and technical standardization of AI-assisted fair competition review tools across other provincial regulators

Key Takeaways

  • 1SAMR released ten benchmark cases illustrating two years of progress under the Fair Competition Review Regulations.
  • 2Highlighted local practices include AI-powered screening in Zhejiang and cross-provincial regulatory coordination in the Yangtze River Delta.
  • 3Key initiatives in Beijing, Heilongjiang, and Sichuan focus on multi-tier spot checks, standardized mechanisms, and professional review posts.
  • 4SAMR outlined three second-half enforcement priorities: source-level vetting, supervision enhancement, and grassroots capacity building.
China's State Administration for Market Regulation (SAMR) has released ten representative model cases demonstrating the implementation of the fair competition review system, state media reported. The release marks two years of progress under the Fair Competition Review Regulations as authorities intensify efforts to build a unified national market. The featured cases highlight distinct approaches developed by provincial market supervision bureaus to prevent government policies from distorting market competition. In Zhejiang, regulators focused on systemic restructuring and digital empowerment to establish an artificial-intelligence-assisted review system. In the Yangtze River Delta, authorities across Shanghai, Jiangsu, Zhejiang, and Anhui established a joint coordination mechanism to align fair competition reviews across provincial boundaries. Other highlighted cases include Beijing's multi-tiered spot-check supervision system, Heilongjiang's framework establishing six core regulatory mechanisms, and Sichuan's creation of specialized professional personnel posts dedicated to fair competition vetting. According to Zhao Chunlei, deputy director of SAMR's Competition Coordination Department, market regulators will focus on three key priorities in the second half of the year. First, SAMR will guide local authorities to enforce strict review standards to filter out anti-competitive policies at their source. Second, the agency will strengthen supervision and enforcement mechanisms to ensure review rules are executed consistently. Third, regulators will accelerate training programs to upgrade grassroots vetting capabilities and guarantee review quality. The fair competition review framework requires administrative agencies at all levels to assess prospective economic policies, procurement guidelines, and regulatory measures for potential market distortions prior to formal enactment, aiming to eliminate regional protectionism and unfair preferential policies.