China Will Speed Up The Introduction Of Punitive Damages And Huge Fines

According to news from the Chinese government website, the General Office of the State Council has recently issued the “National Deepening of the “Delegation of Management Services” Reform and Optimization of the Business Environment Video and Telephone Conference Key Task Division Plan” (hereinafter referred to as the “Division of Labor Plan”) to deepen the “Delegation of Management Services” in the next stage. “Reform and optimize the business environment to make arrangements.
The “Division of Labor Plan” clarified 25 key tasks in five areas, and each key task proposed a number of specific measures, and implemented the division of tasks and measures to the relevant departments of the State Council according to their functions. Among them, there are 15 key tasks led and participated by the General Administration of Market Supervision.
According to the “Division of Labor Plan”, the key tasks and specific measures that the State Administration for Market Regulation is responsible for in accordance with the division of responsibilities mainly include: carrying out special management of corporate fees before the end of 2020, conducting inspections of corporate fees in public utilities, port logistics and other fields, and rectifying some parks, Buildings, commercial complexes, and other power-transfer entities illegally increase prices, and resolutely avoid the interception of fee reduction dividends. Organize a comprehensive self-examination of industry associations and chambers of commerce before the end of 2020, and carry out inspections on the self-examination of industry associations and chambers of commerce and the return of illegal and illegal income before the end of March 2021 to ensure that the rectification of the problem of arbitrary fees is in place. Strictly control the compulsory certification catalog, promote the expansion of the types of self-declared products in the compulsory certification catalog to more than 30%, and further integrate the over-divided certification units. Increasing the number of designated certification bodies, eliminating the need to declare changes that do not involve product safety, and reducing certification time and costs. Pilot the reform of the registration confirmation system for commercial entities in the pilot free trade zone to improve the convenience of enterprise cancellation, revise and improve the “Enterprise Cancellation Guidelines” before the end of June 2021, promote data sharing and business collaboration between departments, and realize real-time sharing of processing progress and results. Further expand the geographical scope of the pilot program for simple cancellation; explore the implementation of a pilot program for compulsory cancellation of long-term cancellation of non-registered enterprises, clarify the applicable circumstances, specific conditions and procedures for compulsory cancellation, and further improve the exit efficiency of market entities. Instruct local governments to combine “double random, one open” supervision with enterprise credit risk classification management, etc., to reduce the number of inspections of law-abiding and honest enterprises. Expand the regulatory coverage of the department’s joint “double random, one open” supervision and include more items into the scope of joint random inspections. Further enrich the list of law enforcement inspectors, and alleviate the problem of insufficient grass-roots “double random, one open” supervision and law enforcement personnel. Accelerate the improvement of the regulatory standard system in various fields, implement the standard “leader” system, encourage the industry to formulate higher-level self-discipline standards, and promote the improvement of product competitiveness and industrial transformation and upgrading. Keep the bottom line of safety and quality, strengthen the analysis of the safety status of special equipment nationwide, and carry out investigation and remediation of hidden dangers. Strengthen the responsibility of market entities, increase the detection and punishment of illegal and criminal acts such as the manufacture and sale of counterfeit products, and infringement of intellectual property rights, and speed up the introduction of punitive compensation and huge fines in areas directly related to the health and safety of the people. Before the end of 2020, develop and improve the judgment standards for trademark and patent infringement in the process of administrative law enforcement. Accelerate the introduction of punitive damages systems in areas such as patents.