Shanghai’s market regulator on Tuesday implemented six new measures to regulate internet companies.
New forms of unfair competition emerging in the digital sector, such as fake reviews and ratings, as well as cashback for positive reviews, will be monitored by the Shanghai Municipal Bureau for Market Regulation.
It will also address new technologies related to new unfair practices, such as malicious interference and incompatibility, as well as unfair competition, such as unlawful data collection and discriminatory treatment.
Influencer-led promotion and Wanhon Store visits (by online celebrities) will be restricted, as will the publication of internet advertisements and the operation of new marketing models.
The administration will also prioritize preventing lewd marketing, false price comparisons and other issues in livestreaming, and addressing concerns about misleading promotions.
The administration will urge platform companies to promptly conduct monitoring, self-inspection and correction, and to be aware of the risks of common violations.
The administration’s law enforcement arm signed a memorandum of understanding with 10 internet platforms on Tuesday.
Tang Jianxiong, head of the government’s law enforcement team, said the team would help platform companies resolve problems at an early stage through education and other methods.
