China issues overseas competition guidelines for automakers as exports expand

Summary

• New overseas guidance: China’s Ministry of Commerce, Ministry of Industry and Information Technology and State Administration for Market Regulation have issued a 20-article guideline for Chinese automakers operating overseas.
• Focus on fair competition: The guidance encourages companies to adopt cost-based pricing, avoid disruptive competition and respect the independent pricing rights of overseas dealers and agents.
• Broader compliance rules: The document also covers connected vehicle data, labour rights, product quality, intellectual property, antitrust compliance and environmental responsibility.

BEIJING, September 1, 2026 — China has issued new guidelines aimed at encouraging Chinese automakers to adopt more orderly and compliant business practices as the country’s vehicle industry expands rapidly into overseas markets.

The guidelines were jointly issued by the Ministry of Commerce, the Ministry of Industry and Information Technology and the State Administration for Market Regulation.

Titled the Guidelines for Overseas Competition Conduct and Compliance Development in the Automotive Industry, the document contains four chapters and 20 articles covering overseas market competition and compliance practices for Chinese automotive companies engaged in international operations.

The guidance is intended to promote the healthy and orderly international development of China’s automotive industry, improve companies’ overseas compliance capabilities and strengthen international cooperation across automotive supply chains. The document serves as general guidance for companies rather than setting out a new set of binding penalties.

The move comes as Chinese automakers continue to expand their international presence. China exported 8.32 million vehicles in 2025 to more than 200 countries and regions, while Chinese companies have invested in automobile manufacturing in more than 80 countries and regions, according to official data.

Guidance targets orderly overseas competition

A major part of the new guidance focuses on pricing and competition in overseas markets.

The document says companies may establish pricing strategies based on costs and international market supply and demand. Automakers are encouraged to manage the pricing of vehicles and components in accordance with applicable laws and regulations and avoid disrupting market competition in pursuit of improper competitive advantages.

When setting suggested retail prices in overseas markets, companies are advised to establish clear price differences between different vehicle configurations and avoid frequent or substantial price changes that could affect consumers or damage brand reputations.

Automakers are also encouraged to consider local market conditions, tax structures and logistics costs when determining price differences between countries and regions.

The guidelines further state that companies should respect the independent pricing rights of overseas dealers and agents in accordance with local laws and regulations.

Companies are also urged to provide transparent pricing and avoid charging unmarked or undisclosed fees when selling products or services overseas.

Rules extend to connected vehicle data

The guidelines also address the growing regulatory challenges surrounding connected and autonomous vehicles.

Chinese automakers are encouraged to ensure that the collection, use, protection and cross-border transfer of vehicle connectivity and autonomous driving-related information comply with applicable laws and regulations.

Companies must also comply with rules governing the processing of personal information and take steps to protect consumer privacy.

The provisions reflect the increasing importance of data governance as vehicles become more connected and collect larger volumes of information through onboard sensors, cameras and digital systems.

Companies urged to strengthen local compliance

Beyond pricing and data, the guidance calls on Chinese automakers to improve compliance across their overseas operations.

Companies are encouraged to assess political, economic, social and safety risks in host countries and strengthen emergency response and production safety management.

The guidelines also call for stronger overseas quality management and after-sales service systems. Automakers are advised to conduct market research and adapt products to local market and operating conditions.

On labour practices, companies are urged to comply with host-country employment laws, recruit employees based on equal opportunity and fair treatment principles, and strengthen skills training and employee protection.

The guidance also covers intellectual property protection, urging companies to comply with Chinese and host-country laws and strengthen the protection of automotive technologies and other intellectual property in overseas markets.

Environmental and antitrust compliance included

The 20-article document also addresses antitrust and environmental responsibilities.

Chinese automotive companies are encouraged to strengthen overseas antitrust compliance by identifying, assessing and managing potential competition-law risks.

On environmental issues, the guidelines call on companies to support the green and low-carbon transformation of their supply chains in line with the United Nations Framework Convention on Climate Change, host-country climate regulations and automotive industry emissions-reduction targets.

The broad scope of the guidance reflects China’s efforts to help domestic automakers manage the increasing regulatory and operational complexity of expanding internationally.

Supporting China’s global auto expansion

China’s automotive industry has become increasingly important in global vehicle markets, with companies expanding exports, establishing overseas production facilities and building local sales and service networks.

The Ministry of Commerce said the new guidance is part of a broader effort to improve overseas services for Chinese companies and encourage the rational and orderly cross-border development of industrial capacity.

The guidelines emphasise compliance with laws in both China and host countries while encouraging companies to adapt their operations to local market conditions.

For automakers, the framework highlights the need to balance rapid international expansion with stronger compliance, local market integration and long-term business development.

Why this matters

• Overseas expansion: The guidance provides Chinese automakers with a framework for managing competition and compliance as their international operations grow.
• Pricing practices: Companies are encouraged to base pricing on costs and market conditions while avoiding disruptive competition.
• Dealer relationships: The guidelines recognise the independent pricing rights of overseas dealers and agents.
• Data governance: Connected and autonomous vehicle data must be handled in line with applicable laws and privacy requirements.
• Broader compliance: Labour rights, product quality, intellectual property, antitrust and environmental responsibilities are all included in the guidance.

FAQs

Q1: Which Chinese government bodies issued the new guidelines?

The guidelines were jointly issued by the Ministry of Commerce, the Ministry of Industry and Information Technology and the State Administration for Market Regulation.

Q2: How many articles are included in the guidelines?

The document contains 20 articles organised into four chapters.

Q3: What do the guidelines say about vehicle pricing?

Companies are encouraged to develop pricing strategies based on costs and international market supply and demand. They are also advised to avoid disrupting market competition and to avoid frequent or substantial price changes that could harm consumers or brand reputations.

Q4: Do the guidelines require automakers to respect dealer pricing rights?

Yes. The guidance states that companies should respect the independent pricing rights of overseas dealers and agents in accordance with applicable laws and regulations.

Q5: What do the guidelines say about connected vehicle data?

Companies are urged to ensure that the collection, use, protection and cross-border transfer of connected vehicle and autonomous driving-related information comply with applicable laws and regulations and protect consumer privacy.