Wednesday, April 3, 2013
Cartel Enforcement Comes of Age in China—The National Development and Reform Commission's LCD Panels Decision
Posted by D. Daniel Sokol
Philip Monaghan (Mayer Brown) discusses Cartel Enforcement Comes of Age in China—The National Development and Reform Commission's LCD Panels Decision.
ABSTRACT: On January 4, 2013, China's National Development and Reform Commission ("NDRC") published a decision under the Price Law imposing financial penalties of RMB 353 million (approximately U.S.$57 million) on six Korean and Taiwanese manufacturers of LCD panels-Samsung Electronics, LG Display, Chimei, AU Optronics, Chunghwa Picture Tubes, and HannStar Display. The watershed ruling-the first extraterritorial application of Chinese cartel law with financial penalties almost 57 times greater than penalties previously imposed by a Chinese antitrust authority-signals a new and aggressive turn in behavioral antitrust enforcement for NDRC. I consider below the context for and implications of this revolution in Chinese cartel law practice.