Core Viewpoint - The announcement by the National Development and Reform Commission and the State Administration for Market Regulation aims to regulate market pricing behavior and maintain a sound market price order to support high-quality development [2][3]. Group 1: Market Price Order - Price competition is a significant aspect of market competition, but disorderly competition can negatively impact industry development, product innovation, and quality safety, which is detrimental to the healthy development of the national economy [2][3]. - The government is implementing policies to resolve structural contradictions in key industries, promote the exit of backward and inefficient production capacity, and expand the supply of mid-to-high-end capacity [3]. Group 2: Pricing Guidelines - The announcement emphasizes that operators should set prices based on production costs and market supply and demand, adhering to principles of fairness, legality, and good faith [3][4]. - Industry associations are encouraged to assess average industry costs to provide operators with reasonable pricing references, which can help optimize pricing strategies and improve production management [5][6]. Group 3: Tendering and Bidding Regulations - The announcement includes specific regulations for operators' behavior in the tendering and bidding sector, prohibiting bids below their own costs [8]. - Measures to address disorderly price competition include reminders, regulatory enforcement, and credit punishment for non-compliance [8][9].

Core Viewpoint - The A-share market is experiencing a strong upward trend, with all three major indices rising, driven by various sectors such as gold, rare earths, nuclear fusion, copper, and storage chips, indicating a potential continuation of the upward movement in the market [1] Regulatory Measures - The National Development and Reform Commission (NDRC) and the State Administration for Market Regulation have issued an announcement to address disorderly price competition and maintain a sound market price order, emphasizing fair, legal, and honest principles in pricing [2][3] - The announcement outlines three main regulatory measures: reminding and warning businesses about price competition, enforcing regulations against non-compliant businesses, and implementing credit penalties for those engaging in disorderly competition [3][4] Industry Impact - The announcement aims to provide a reference for businesses to set reasonable prices based on their own costs and industry averages, thereby optimizing pricing strategies and improving production management [2] - It encourages businesses to adhere to the "Bidding Law" and related regulations, ensuring that bids are not submitted below their own costs, which helps maintain product and service quality [4] - The NDRC and market regulators will guide local authorities in implementing these measures, focusing on policy promotion, industry self-discipline, market monitoring, and enforcement of regulations [4]

Core Viewpoint - The National Development and Reform Commission (NDRC) and the State Administration for Market Regulation (SAMR) have issued an announcement to address the issue of disorderly price competition in certain industries, which may lead to negative impacts on industry development, product innovation, and quality safety [1][2]. Group 1: Background of the Announcement - Price competition is a crucial aspect of market competition, and its normal functioning is essential for the effective allocation of resources in a socialist market economy [2]. - The emergence of disorderly competition in some industries could result in "bad money driving out good," adversely affecting the healthy development of the national economy [2]. - The government is implementing policies to resolve structural contradictions in key industries, promote the exit of inefficient capacities, and expand the supply of mid-to-high-end capacities [2]. Group 2: Role of Industry Average Cost Assessment - The announcement allows for the assessment of industry average costs in sectors with significant price competition issues, guided by relevant authorities [3]. - This assessment serves three main purposes: providing pricing references for operators, guiding improvements in production management, and evaluating industry competition conditions [3]. - Industry associations are encouraged to adhere to price laws and promote self-discipline within the industry [3]. Group 3: Regulatory Measures for Disorderly Competition - The announcement outlines three regulatory measures for operators engaged in disorderly price competition: reminders and warnings, regulatory enforcement, and credit-based penalties [4]. - Operators will be reminded to comply with pricing norms, and those who fail to do so may face investigations and legal actions [4]. Group 4: Requirements for Bidding Behavior - The announcement emphasizes compliance with existing laws regarding bidding and tendering, prohibiting bids below cost [5][6]. - Operators must ensure that their bids do not undercut their own costs, while bids above their costs but below industry averages are not automatically disqualified [6]. Group 5: Implementation of the Announcement - The NDRC and SAMR will guide local authorities in implementing the announcement's principles and measures [7]. - Key actions include policy promotion, encouraging industry self-discipline, monitoring market prices, and enforcing regulations against price violations [7].

Core Viewpoint - The announcement aims to address disorderly price competition in various industries to maintain a healthy market price order and promote fair competition [2][6]. Group 1: Background of the Announcement - Price competition is a crucial aspect of market competition, and its proper functioning is essential for resource allocation in a socialist market economy [2]. - Current issues of disorderly competition in certain industries may lead to negative impacts on industry development, product innovation, and quality safety, which are detrimental to the national economy [2]. - The announcement is part of broader efforts to resolve structural contradictions in key industries and to promote the exit of inefficient capacities while expanding mid-to-high-end supply [2]. Group 2: Role of Industry Average Cost Assessment - The announcement allows industry associations to assess average costs in industries with significant price competition issues, providing three main benefits: 1. It offers a reference for reasonable pricing, helping businesses optimize their pricing strategies [3]. 2. It encourages businesses to improve management and production processes, leading to better quality products and services [3]. 3. It aids in evaluating industry competition by comparing average costs with market prices, providing insights for macroeconomic regulation [3]. Group 3: Regulatory Measures for Disorderly Price Competition - The announcement outlines three regulatory measures for businesses engaged in disorderly price competition: 1. Reminders and warnings to encourage compliance with pricing norms [4]. 2. Regulatory enforcement actions, including cost investigations and price supervision for non-compliant businesses [4]. 3. Implementation of credit-based penalties for businesses that fail to adhere to pricing regulations [4]. Group 4: Requirements for Bidding and Tendering Behavior - The announcement emphasizes compliance with existing laws regarding bidding and tendering, specifically prohibiting bids below the cost of production [5]. - It mandates that businesses must not submit bids below their own costs, while bids above their costs but below industry averages are acceptable [5]. Group 5: Implementation of the Announcement - The National Development and Reform Commission and the State Administration for Market Regulation will guide local authorities in implementing the announcement's strategies [6][7]. - Key actions include policy promotion, encouraging industry self-regulation, enhancing market monitoring, and enforcing regulatory measures to combat price violations [6][7].

Core Viewpoint - The announcement aims to address disorderly price competition in certain industries, which negatively impacts industry development, product innovation, and quality safety, ultimately harming the healthy development of the national economy [2]. Group 1: Background and Purpose - Price competition is a crucial aspect of market competition, and its proper functioning is essential for resource allocation in a socialist market economy [2]. - The government is implementing policies to resolve structural contradictions in key industries, promoting the exit of inefficient capacities and expanding mid-to-high-end supply [2]. Group 2: Measures for Addressing Price Competition - The announcement emphasizes the need for a combination of pre-guidance and ongoing supervision, including industry average cost assessments, enhanced price regulation, and standardized bidding behaviors to maintain a fair competitive market environment [2][3]. - Industry associations are encouraged to conduct assessments of average costs to provide reference points for reasonable pricing, improve production management, and evaluate industry competition [3]. Group 3: Regulatory Actions Against Disorderly Competition - The announcement outlines three regulatory measures for businesses engaged in disorderly price competition: reminders to comply, enforcement actions for non-compliance, and penalties for breaches of trust [4]. - Businesses are required to adhere to laws regarding bidding and tendering, ensuring that bids are not below their own costs, while also maintaining product and service quality [6]. Group 4: Implementation of the Announcement - The National Development and Reform Commission and the State Administration for Market Regulation will guide local authorities in implementing the announcement's principles and measures [7]. - Key actions include policy promotion, encouraging industry self-discipline, enhancing market monitoring, and strengthening regulatory enforcement to address price violations [8][9].