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Clampdown Announced on Illicit Online Sales Practices

Online marketplaces are to be under particular scrutiny until the end of November this year as part of a crackdown on misleading and unlawful sales practices. Under the terms of the 2017 Special Action Plan for the Supervision of Online Marketplaces, jointly issued by the State Administration for Industry and Commerce (SAIC) and a number of other government departments, four particular areas have been designated for special attention:

  • Acts of copyright infringement and counterfeiting, especially with regard to consumer and producer goods that may adversely affect any user’s health or safety. Among the sectors identified for particular scrutiny are foodstuffs, pharmaceuticals, cosmetics, medical devices, clothing, footwear, products for children/seniors, home appliances, consumer electronics, auto parts, decorative building materials and items used in agricultural production.
  • Fraudulent promotion and misleading/illegal advertising.
  • So-called “click farming” and other acts likely to promote the dissemination of misleading/untrue reviews or other information.
  • Any other online activities in breach of existing laws and regulations, with a particular emphasis on curtailing the digital presence of any illegal entity. In line with this, enhanced efforts are to be made to identify and penalise all online instances of unfair competition and/or pyramid selling.

For further details (in Chinese), please refer to the following website:

2017 Special Action Plan for the Supervision of Online Marketplaces

Content provided by Picture: HKTDC Research
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