Avoid Misleading Ads, Refrain From Steep Price Changes: China’s New Rules For Its Automakers’ Overseas Biz

Avoid Misleading Ads, Refrain From Steep Price Changes: China’s New Rules For Its Automakers’ Overseas Biz


Beijing: Chinese regulators on Tuesday issued new guidelines for automakers’ overseas operations so that they don’t use prices to gain unfair competitive advantages.

The guidelines seek to ensure that the companies comply with laws governing ‌outbound investment and overseas business activities, according to a Reuters report. The new set of guidelines are also aimed at strengthening anti-monopoly, anti-corruption and social responsibility compliance.

According to the rules, automakers have to base pricing on ​costs and market conditions. They must refrain from frequent or steep price changes that could harm consumers or brand image. Companies are also required ​to provide truthful marketing disclosures and avoid misleading advertising, the Reuters report states. The automakers must ​protect the reputation of Chinese auto brands abroad.

The guidelines also urge ‌firms ⁠to strengthen antitrust compliance, prevent disruptive competition, ensure exported products meet local market needs, comply with local labour laws, and improve risk management covering political, economic and ​safety conditions in ​host countries, according to the report.

As per the data provided in the report, China ⁠exported 8.32 million vehicles in 2025 to more than 200 countries and regions.

According to a government official quoted anonymously in the report, the guidelines are intended to promote the “rational and ⁠orderly” ​cross-border deployment of industrial and ​supply chains and support the long-term international development of China’s auto industry.

 



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