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Article 14 Public resource trading activities shall be open, transparent, fair and just, and all types of economic organizations, including private economic organizations, shall be treated equally in accordance with the law. Unless otherwise provided by law, there shall be no restriction or exclusion of private economic organizations in public resource transactions such as bidding and tendering and government procurement.

[Interpretation of Provisions] 

Background and Purpose of Legislation: The field of public resource transactions is prone to corruption, and is also a common area of local protection and ownership discrimination. The purpose of this article is to regulate the conduct of public resource transactions, to protect the rights of private economic organizations to participate on an equal footing.

Interpretation of the Article: a. "Public resource trading activities": including but not limited to bidding and tendering, government procurement, state-owned property rights transactions, land use rights and mineral rights transfer, etc. b. "Open and transparent, fair and just": this is the basic principle requirement for public resource trading activities. Openness and transparency are the prerequisite, and fairness and impartiality are the core. c. "Equal treatment of all types of economic organizations, including private economic organizations, in accordance with the law": the principle of equality is re-emphasized. d. "Unless otherwise provided for by the law": an exception clause is set up, but such an exception must be based on a clear legal basis rather than a departmental regulation or a local provision. e. "Bidding and tendering, government procurement, and other transactions of public resources shall not be conducted in a way that restricts or excludes private economic organizations. of private economic organizations": Discriminatory practices against private enterprises in these key trading activities are expressly prohibited. Restrictive or exclusionary behavior may be manifested in the following ways: setting unreasonable thresholds for registered capital, performance, awards, etc.; requiring the establishment of local branches; designating specific suppliers or brands; and unfair evaluation standards.

Relevant Laws and Regulations] 

a. Tendering and Bidding Law of the People's Republic of China and its Implementing Regulations: regulates tendering and bidding activities. b. Government Procurement Law of the People's Republic of China and its Implementing Regulations: regulates government procurement activities. c. Provisional Measures for the Administration of Public Resource Transaction Platforms: regulates the operation and administration of public resource transaction platforms. d. Regulations for Optimizing the Business Environment: Article 33 provides that tendering, bidding and government procurement shall be open and transparent. Article 33 of the Regulations on Optimizing the Business Environment stipulates that bidding and government procurement shall be open, transparent, fair and just, and all types of ownership and market players in different regions shall be treated equally in accordance with the law, and shall not be restricted or excluded on the basis of unreasonable conditions or the origin or ownership of the products.

[Practice Guide] 

a. Enterprise participation and supervision: Private enterprises shall actively participate in public resource trading activities. If they find any restrictive or exclusionary clauses in the bidding documents, procurement documents or the transaction process, they may, in accordance with the law, challenge, complain or report to the bidder, purchaser, or administrative supervisory department (e.g., development and reform, finance, market supervision, etc.). b. Responsibilities of the Government and the Transaction Platforms: ● Relevant governmental departments shall strengthen the supervision of the public resource transaction activities and correct the unlawful and illegal behaviors in a timely manner. ● Public resource trading platforms should ensure full disclosure of transaction information, standardize the transaction process, and use information technology to prevent human intervention. c. Attention to Hidden Barriers: In addition to obvious discriminatory clauses, it is also necessary to pay attention to some hidden barriers, such as insufficient release of information, tendency of evaluation experts, and excessive deposit requirements. d. Application of Credit Records: In public resource trading, credit records of all types of market entities should be treated equally. e. Application of Credit Records: In public resource trading, the credit records of all types of market entities should be treated equally. records of all types of market players in public resource transactions should be treated equally, avoiding different weights or differential treatment due to different ownership systems.

Article 15 [Original text] 

Article 15 Anti-trust and anti-unfair competition law enforcement agencies shall, in accordance with their duties and powers, prevent and stop monopoly and unfair competition in market economic activities, and deal with the abuse of administrative power to exclude or restrict competition in accordance with the law, so as to provide a favorable market environment for private economic organizations.

[Interpretation of Provisions] 

Background and Purpose of Legislation: Monopoly, unfair competition and administrative monopoly are important factors that undermine the order of fair competition in the market and damage the environment for the development of private economy. The purpose of this Article is to emphasize the role of anti-monopoly and anti-unfair competition law enforcement in ensuring fair competition in the private economy.

Definitions: a. "Anti-monopoly and anti-unfair competition enforcement agencies": mainly refers to the General Administration of Market Supervision and Administration and its local agencies. b. "In accordance with their duties and powers": emphasizes administration in accordance with the law. c. "Preventing and stopping monopoly and unfair competition in market economic activities": ● Monopoly: including monopoly agreements reached by operators, abuse of dominant position in the market, and unlawful concentration of operators. d. "Prevention and suppression of monopoly and unfair competition": including monopoly agreements, abuse of dominant position in the market and unlawful concentration of operators, etc. ● Unfair competition: including confusing behavior, commercial bribery, false propaganda, infringement of commercial secrets, unfair prize sales, commercial defamation, use of the Internet to engage in unfair competition, etc. d. "To deal with the abuse of administrative power to exclude or restrict competition in accordance with the law": this is the "administrative monopoly" regulated in the anti-monopoly law, i.e., administrative organs and agencies authorized by laws and regulations have the power to exclude or restrict competition, and the monopolies are not regulated by the anti-monopoly law. This is the “administrative monopoly” regulated by the Anti-Monopoly Law, i.e., the abuse of administrative power by administrative organs and organizations authorized by laws and regulations to manage public affairs to impede the free circulation of commodities between regions, restrict transactions, and impede fair competition. This is particularly important for safeguarding the inter-regional operation of private enterprises and breaking down local protection. e. "Providing a good market environment for private economic organizations": It is pointed out that the ultimate goal of law enforcement activities is to create a fair and orderly environment for market competition in which private economic organizations can develop healthily. f. "Providing a good market environment for private economic organizations": It is pointed out that the ultimate goal of law enforcement activities is to create a good market environment for private economic organizations to develop healthily.

[Relevant Regulations] 

a. Anti-Monopoly Law of the People's Republic of China: Systematically stipulates the types of monopolistic behavior, investigation procedures, and legal liabilities. Special attention is paid to administrative monopoly (Chapter 5). b. Anti-Unfair Competition Law of the People's Republic of China: lists various types of unfair competition behaviors and stipulates corresponding legal liabilities. c. Various guidelines issued by the Anti-Monopoly Committee of the State Council, such as Anti-Monopoly Guidelines on the Field of Platform Economy, Anti-Monopoly Guidelines on the Field of APIs, and Provisional Provisions for Review of Concentration of Business Operators.

[Practice Guidelines] 

a. Corporate Compliance and Rights Defense:● Private enterprises themselves should avoid engaging in monopolistic behavior and unfair competition and establish a sound antitrust compliance system. When encountering monopolistic behavior (e.g., being required to “choose one or the other”, encountering predatory pricing) or unfair competition (e.g., being confused by counterfeiting, business defamation) of other operators, or when encountering abuse of administrative power by administrative authorities to exclude or restrict competition (e.g., local protection, forced transactions), they can report complaints to the antitrust and unfair competition enforcement agencies. b. Enforcement of Laws: a. Compliance and Defending Rights: ● Private enterprises themselves should avoid engaging in monopolistic behavior and unfair competition. b. Responsibilities of enforcement agencies: Enforcement agencies shall actively fulfill their responsibilities, verify and handle reports in a timely manner, investigate and deal with violations in accordance with the law, and publicize typical cases to form a deterrent. Special attention should be paid to monopoly and unfair competition in areas related to people's livelihood and emerging industries. c. Fair competition advocacy: Industry associations can organize and carry out industry self-discipline, advocate fair competition, and cooperate with law enforcement agencies. d. Lawyer services: Lawyers can provide enterprises with legal services such as anti-monopoly and anti-unfair competition compliance consulting, acting as agents for complaints and reports, and responding to investigations.

Chapter III Investment and Financing Promotion 

Article 16 [Original text] 

Article 16 supports the participation of private economic organizations in major national strategies and major projects. It supports private economic organizations to invest and start businesses in strategic emerging industries and future industries, encourages the technological transformation and upgrading of traditional industries, and participates in the investment and construction of modern infrastructure.

[Article Interpretation] 

Background and Purpose of the Legislation: Traditionally, major national strategies, major projects, emerging industries and other fields are often dominated by state-owned capital. The purpose of this article is to break down the ownership barriers, encourage and support private capital to participate in these key areas on an equal footing, stimulate the vitality of the private economy and optimize the investment structure.

Definitions:a. "Major national strategies and projects": such as regional coordinated development strategies (Beijing-Tianjin-Hebei, Yangtze River Delta, Guangdong-Hong Kong-Macao Greater Bay Area, etc.), the "Belt and Road" Initiative, major national scientific and technological special projects, and major infrastructure construction projects (e.g., transportation, water conservancy, and energy), etc. b. "Strategic emerging and future industries": such as new-generation information technology, biotechnology, new energy, and new energy. c. "Strategic emerging industries": such as new-generation information technology, biotechnology, and new energy, etc. d. "New industries". Such as new-generation information technology, biotechnology, new energy, new materials, high-end equipment, new energy vehicles, green environmental protection, and industries representing the direction of scientific and technological development, such as artificial intelligence, quantum information, and gene technology. c. "Technological Reform and Transformation and Upgrading of Traditional Industries": Encouragement of private enterprises to use new technologies, new processes, and new modes to transform and upgrade traditional manufacturing and service industries, and to improve efficiency and competitiveness. d. " Investment and construction of modernized infrastructure": Includes new types of infrastructure (e.g., 5G base stations, big data centers, artificial intelligence platforms) and digital and intelligent transformation of traditional infrastructure. e. "Support", "Encouragement", and "Participation": Reflects the state's positive attitude toward private capital's entry into these fields.

Relevant regulations] 

Policy documents issued by the National Development and Reform Commission (NDRC), the Ministry of Industry and Information Technology (MIIT), and other departments on encouraging private investment, developing strategic emerging industries, and promoting the construction of new infrastructures. ● Regulations on Government Investment: regulates government investment behavior and may also involve cooperation with social capital. ● Regulations on the Administration of Approval and Filing of Enterprise Investment Projects: regulates the management of enterprise investment projects.

[Practical Guide] 

a. Opportunities: Private enterprises should pay close attention to the national major strategic planning, industrial policy guidance and information on major projects, and actively look for investment and participation opportunities by combining their own strengths. b. Government Guidance: ● Government departments should take the initiative to promote relevant projects to private enterprises, lower the threshold of entry, and provide the necessary policy support and facilitation. c. Government Guidance: ● Government departments should take the initiative to promote relevant projects to private enterprises, lower the threshold of entry, and provide necessary policy support and facilitation. Private enterprises should be treated equally in terms of project approval and factor guarantee. c. Capacity enhancement: To participate in these major projects and emerging industries, private enterprises need to continuously enhance their technical strength, management level and financing capacity. d. Risk assessment: Major projects and emerging industries often have long investment cycles and high risks, so private enterprises should conduct sufficient feasibility studies and risk assessments before participating. e. Risk assessment: Private enterprises should be encouraged to conduct feasibility studies and risk assessments before participating in these projects. Private enterprises should conduct adequate feasibility study and risk assessment before participating in them.