China’s Economy Is Plagued by Vicious Price Wars. Can a Legal Change Fix That?

China’s economy is plagued by vicious price wars. Can a legal change fix that?

Beijing has become increasingly concerned about aggressive price cuts in a slew of industries, which are fuelling deflationary pressure.

China releases draft law amendment to help curb price wars

Firms will be prohibited from selling below cost to drive out competitors or monopolise the market. Read more at straitstimes.com.

Law Draft Focuses on Overcapacity and Price Wars - China Last Night

Key News Asian equities were mixed overnight, as Japan and Mainland China outperformed. It was a relatively quiet night. Hong Kong and Mainland China-listed semiconductor stocks were higher on President Trump’s AI Action Plan. Mainland China had a very broad rally, led by Shenzhen-listed growth stocks, while mega-cap banks, oil, and telecom all lagged. Hong Kong and Mainland China were also led by healthcare and materials. Remember our thesis th…