Conventionally China had resolved the competition problems by Anti-Unfair Competition Law and Price Law etc. But these acts had forbidden dumping and a cartel activity. China, a communist state has not regulation for monopoly and merger. For fair competition in a market and promotion of competition, China enacted the "Antimonopoly Law" of the People's Republic of China(following "Antimonopoly Law") in the Standing Committee of the National People's Congress on Aug. 30, 2007. And this Antimonopoly Law are effective Aug. 1, 2008.
The law originally called Antimonopoly Law(Fair Trade Law; Competition Law) is law which regulates the competitive restriction act between private companies on the assumption that a free competition principle. Antimonopoly Law is the law established centering on the West. China may be enacted this law by maturity of the market economy and by Chinese economical situation with continuing market monopoly.
Also, enforcement of the China Antimonopoly Law must take care about the ability to become an obstacle factor in the position of the korean company which invests in China. First, under the Antimonopoly Law, expense will increase, when it is going to undertake an business in China. Second, which must take care about the achievement propriety of merger and acquisition coming to be decided by national security that is very abstract concept. The symbolism of the market economy, China Antimonopoly Law is proper and must be executed by fullness in order to demonstrate the raison d'etre. Lastly, it is necessary to observe the contents of the details guideline, and independency of the antimonopoly law's execution mechanism etc.