China’s SAMR Releases the Automotive Industry Price Conduct Compliance Guidelines
Published 19 February 2026
Yu Du
On 12 February 2026, the State Administration for Market Regulation (SAMR) officially released the Automotive Industry Price Conduct Compliance Guidelines (Guidelines), aiming to further regulate price conduct, safeguard fair competition, protect the legitimate rights and interests of consumers and business operators, and guide automotive enterprises to strengthen internal price compliance frameworks. By clarifying regulatory boundaries and unifying enforcement standards, SAMR seeks to promote a stable and transparent development of the automotive industry. The main elements of the Guidelines are summarized below.
Scope of Application
The Guidelines apply to price conduct arising from automobile production and new-vehicle sales activities within the territory of China. They cover both vehicle manufacturers and parts suppliers, as well as authorized dealers, agents, traders, and relevant sales platforms.
Price Conduct of Automobile Manufacturers
Manufacturers are required to adopt pricing strategies based on production costs and market supply-demand conditions, implementing full-chain price management across vehicle sales, parts supply, and related financial services.The Guidelines emphasize respect for dealers’ independent pricing rights and require that rebate and incentive policies be clear, transparent, and agreed upon in advance through contracts.
At the same time, the Guidelines highlight significant legal risks associated with price collusion among manufacturers or parts suppliers, such as fixing prices, price ranges, or pricing formulas. They also strictly regulate predatory pricing practices, including selling below production cost for the purpose of excluding competitors or monopolizing the market, whether through direct price cuts or disguised methods such as excessive discounts, subsidies, or non-equivalent exchanges.
In addition, manufacturers must avoid unjustified price hikes when costs have not materially changed, refrain from price discrimination among trading partners with equivalent conditions, and properly regulate fees related to “paid feature unlocking,” ensuring adequate disclosure and consumer consent.
Price Conduct of Automobile Sales Enterprises
For automobile sales enterprises, the Guidelines place strong emphasis on transparent and lawful price disclosure. Dealers must clearly mark prices in physical stores and online channels, including vehicle models, configurations, optional components, delivery timelines, and any additional charges. Prices charged must be consistent with those displayed, and no unlisted fees may be collected.
Promotional activities must be genuine and clearly disclosed, with accurate benchmarks for discounts and reductions. The Guidelines address common risks such as misleading “limited-time offers,” false reference prices, and undisclosed conditions tied to financing, insurance, or bundled services.
Sales enterprises are also required to standardize the collection of service fees, ensuring that fees correspond to actual services provided and avoiding duplicate or disguised charges. Similar to manufacturers, dealers face significant legal risk if they engage in predatory pricing by selling below purchase cost with anti-competitive intent.
Responsibilities of Automotive Trading Platforms
Online and offline automotive trading platforms are required to fulfill their platform governance responsibilities. They must respect the independent pricing rights of merchants, avoid imposing unreasonable price restrictions, and refrain from forcing or indirectly compelling participation in promotional activities.
Where platforms identify potential price-related legal risks during promotions, they are expected to take timely corrective measures and cooperate fully with regulatory investigations. When prices displayed on platforms are significantly lower than manufacturer suggested prices or prevailing market levels, platforms are encouraged to issue compliance reminders to merchants and risk warnings to consumers.
Strengthening Internal Compliance Mechanisms
The Guidelines encourage both manufacturers and sales enterprises to establish robust internal price compliance systems. These include structured price decision-making processes, standardized sales contract management, internal supervision and audits, emergency response mechanisms for price disputes, ongoing risk assessment and early-warning systems, and regular price compliance training for management and staff.
Comment
The issuance of the Automotive Industry Price Conduct Compliance Guidelines marks an important step by SAMR in curbing disorderly price competition and addressing long-standing price compliance risks in the automotive industry. Enterprises are advised to promptly review, update, and improve their pricing systems to ensure full compliance.
Scope of Application
The Guidelines apply to price conduct arising from automobile production and new-vehicle sales activities within the territory of China. They cover both vehicle manufacturers and parts suppliers, as well as authorized dealers, agents, traders, and relevant sales platforms.
Price Conduct of Automobile Manufacturers
Manufacturers are required to adopt pricing strategies based on production costs and market supply-demand conditions, implementing full-chain price management across vehicle sales, parts supply, and related financial services.The Guidelines emphasize respect for dealers’ independent pricing rights and require that rebate and incentive policies be clear, transparent, and agreed upon in advance through contracts.
At the same time, the Guidelines highlight significant legal risks associated with price collusion among manufacturers or parts suppliers, such as fixing prices, price ranges, or pricing formulas. They also strictly regulate predatory pricing practices, including selling below production cost for the purpose of excluding competitors or monopolizing the market, whether through direct price cuts or disguised methods such as excessive discounts, subsidies, or non-equivalent exchanges.
In addition, manufacturers must avoid unjustified price hikes when costs have not materially changed, refrain from price discrimination among trading partners with equivalent conditions, and properly regulate fees related to “paid feature unlocking,” ensuring adequate disclosure and consumer consent.
Price Conduct of Automobile Sales Enterprises
For automobile sales enterprises, the Guidelines place strong emphasis on transparent and lawful price disclosure. Dealers must clearly mark prices in physical stores and online channels, including vehicle models, configurations, optional components, delivery timelines, and any additional charges. Prices charged must be consistent with those displayed, and no unlisted fees may be collected.
Promotional activities must be genuine and clearly disclosed, with accurate benchmarks for discounts and reductions. The Guidelines address common risks such as misleading “limited-time offers,” false reference prices, and undisclosed conditions tied to financing, insurance, or bundled services.
Sales enterprises are also required to standardize the collection of service fees, ensuring that fees correspond to actual services provided and avoiding duplicate or disguised charges. Similar to manufacturers, dealers face significant legal risk if they engage in predatory pricing by selling below purchase cost with anti-competitive intent.
Responsibilities of Automotive Trading Platforms
Online and offline automotive trading platforms are required to fulfill their platform governance responsibilities. They must respect the independent pricing rights of merchants, avoid imposing unreasonable price restrictions, and refrain from forcing or indirectly compelling participation in promotional activities.
Where platforms identify potential price-related legal risks during promotions, they are expected to take timely corrective measures and cooperate fully with regulatory investigations. When prices displayed on platforms are significantly lower than manufacturer suggested prices or prevailing market levels, platforms are encouraged to issue compliance reminders to merchants and risk warnings to consumers.
Strengthening Internal Compliance Mechanisms
The Guidelines encourage both manufacturers and sales enterprises to establish robust internal price compliance systems. These include structured price decision-making processes, standardized sales contract management, internal supervision and audits, emergency response mechanisms for price disputes, ongoing risk assessment and early-warning systems, and regular price compliance training for management and staff.
Comment
The issuance of the Automotive Industry Price Conduct Compliance Guidelines marks an important step by SAMR in curbing disorderly price competition and addressing long-standing price compliance risks in the automotive industry. Enterprises are advised to promptly review, update, and improve their pricing systems to ensure full compliance.