China attaches importance to the development of E-commerce and the management of transaction security, many new regulations are or will be released

With the development of E-commerce, Chinese government encourages and promotes the development of E-commerce, while also strengths the management of the transaction security of E-commerce. In 2013, the State Council and MOFCOM have released relevant new regulations. Meanwhile, MOFCOM and SAIC have published the draft for soliciting opinions on the management of cyber transaction, and the relevant regulations are likely to be released.

In Aug. 2013, the State Council issued Opinions on Boosting Information Consumption to Expand Domestic Demand (Guo Fa [2013] No. 32), which proposed to encourage the development of compound business, such as Internet Protocol Television (IPTV), mobile TV, the relevant industries, such as smart device, development of key software on information security. On the management of security, it stipulates requirements on improving the ability on protection of information security, strengthening protection of personal information, and etc..

By the end of Oct. 2013, MOFCOM releases Implementing Opinions of the Ministry of Commerce on Promoting E-Commerce Application, in which 10 key tasks and supplementary measures on the development of E-commerce application are made. Prior to this, by the end of Sep., MOFCOM announced The Measures for Administration of The Retail Network of Third Party Platform Trading Rules (Draft for Soliciting Opinions), which stipulates that about the trading rules of the retail network of third party platform, the platform shall solicit comments in advance, publish before implementation, and apply reasonable transitional measures and etc..

After SAIC has released Interim Measures for the Trading of Commodities and Services through the Internet in 2010, in Sep. 2013, SAIC releases Circular on Seeking Public Comments on the Administrative Measures for Cyber Commodity Trading and Related Services (Draft for Soliciting Opinions). This Draft has stipulated the requirements for the individuals engaging in cyber commodity trading who does not satisfy the requirements for industrial and commercial registration; categorized the un-fair competition activities which are forbidden for operators of cyber commodities and providers of related services, it has listed 7 categories of un-fair competition activities, such as unauthorized using or faking the domain address, name, symbol of famous website, obtaining commercial reputation for itself or the other party by making up transactions; and, required the platform to publish the trading rules before reversing.