September 1, 2026 (InvestinChina.asia) – China has unveiled its first dedicated guidelines governing the overseas competitive conduct and compliance practices of its automotive companies, in a move designed to rein in disorderly price competition and provide a systematic risk-management framework for an industry rapidly scaling up its global footprint.
The Guidelines for Overseas Competition Conduct and Compliance Development in the Automotive Industry were jointly issued recently by the Ministry of Commerce (MOFCOM), the Ministry of Industry and Information Technology (MIIT), and the State Administration for Market Regulation (SAMR). Comprising four chapters and twenty articles, the document sets out reference standards for Chinese automotive enterprises engaged in international production and business activities, focusing on two pillars: the regulation of overseas marketing and competitive behavior, and the strengthening of local compliance in areas such as workplace safety, quality management, labor protection, and data security.
The release comes as China’s auto exports hit a record 8.32 million units in 2025, shipped to more than 200 countries and regions. Chinese companies have invested in automobile manufacturing in over 80 countries and territories, supplying global consumers with affordable, safe and low-carbon mobility solutions.
“The Guidelines are a concrete achievement in building the overseas comprehensive service system,” a MOFCOM official from the Outward Investment and Economic Cooperation Department said in an interpretation published Tuesday. “They represent a public-service product designed to support automotive enterprises going global, helping them regulate overseas competitive conduct, strengthen compliance, and enhance their international operating capabilities.”
Curbing Price Wars Abroad
The most closely watched provisions center on pricing discipline. The guidelines require enterprises to build cost-based pricing mechanisms guided by international market supply and demand, and to refrain from disrupting market competition to secure unfair advantages.
When setting manufacturer’s suggested retail prices (MSRPs) for overseas markets, companies must establish clear price gradients across different vehicle configurations in line with host-country laws, market principles and commercial practice. Frequent or steep price swings that could harm consumer interests or damage brand image are explicitly discouraged.
Enterprises are also told to respect the independent pricing rights of overseas dealers and agents, exercise compliance oversight over them, and structure sales incentives through clear, reasonable contractual arrangements. Promotional activities — including prize draws, free trials, discounts and auto-financing offers — must comply with local laws and cultural norms.
Full Lifecycle Compliance
Beyond pricing, the document extends into the entire operational lifecycle of a carmaker abroad. Enterprises must conduct due diligence on target markets, assess political, macroeconomic and safety risks, and adapt products to local conditions rather than exporting models ill-suited to the environment.
On labor, the guidelines require adherence to host-country employment laws, equal-opportunity recruitment, vocational training, and improved employee safeguards. On data, they mandate that all processing activities related to connected vehicles and autonomous driving — including collection, use, cross-border transfer and personal information protection — be carried out in full legal compliance.
The document also calls for stronger overseas antitrust compliance, effective identification and management of antitrust legal risks, and proactive overseas intellectual property deployment and protection. Environmental responsibility is addressed as well, urging companies to align with the UN Framework Convention on Climate Change and host-country climate regulations to advance green, low-carbon supply-chain transformation.
“The Chinese automotive industry is at an inflection point, upgrading from product export to full value-chain export,” said Shi Yonghong, vice president of the China Chamber of Commerce for Import and Export of Machinery and Electronic Products. “Overseas plant construction and localized operations involve deeper compliance requirements around environmental protection, taxation, employment and data localization. Covering the full lifecycle, these Guidelines will support the synchronized export of vehicles, parts and service networks.”
A Reference Document, Not a Binding Statute
MOFCOM officials stressed that the Guidelines are “general references” for enterprises and carry the attributes of public service rather than mandatory regulation. Cui Dongshu, secretary-general of the China Passenger Car Association, characterized the document as “a risk-control tool for companies going overseas” amid rising exposure to foreign antitrust and data-compliance actions.
The three ministries said they will continue to refine the overseas comprehensive service system and guide the automotive industry toward a rational and orderly cross-border footprint.