Industry has an opportunity to comment on the Competition Commission’s proposed Guidelines on how it intends to interpret and enforce the conduct rules in Hong Kong’s Competition Ordinance.

Introduction -

Hong Kong’s Competition Ordinance (Chapter 619 of the Laws of Hong Kong) (the Ordinance) was enacted in June 2012, but is still not yet fully in force. The objective of the Ordinance is to prohibit conduct that prevents, restricts or distorts competition, and mergers (in the telecommunications market only) that substantially lessen competition in Hong Kong. The Ordinance also sets out how anti-competitive conduct will be investigated, enforced and sanctioned by the Competition Commission (Commission), the independent statutory body established to enforce the Ordinance.

Before the Ordinance comes into full force, the Ordinance expressly requires that the Commission issue guidelines indicating the manner in which it expects to interpret and give effect to the conduct rules; the manner and form in which it will receive applications for a decision or block exemption order; and indicating how it expects to exercise its power to make a decision or grant block exemptions (Section 35 of the Ordinance).