On the morning of April 10, 2021, the State Administration for Market Regulation (“SAMR”) issued on its website an administrative penalty decision and an administrative guidance document against a major digital undertaking for abuse of its dominant position in the domestic digital retail platform services market due to its exclusive dealing behaviors, so-called “choosing one of two”. The administrative penalty imposed amounted to RMB 18.228 billion, 4% of the undertaking’s 2019 domestic revenue. The penalty is the largest penalty yet imposed in Chinese antitrust enforcement, far exceeding the previous record of 6.088 billion set in 2015, and is probably also the largest administrative penalty incurred in any industry in China.
