China levied a $533 million fine on Meituan after a months-long probe found the food-delivery behemoth had violated anti-monopoly regulations.
The State Administration for Market Regulation imposed a 3.44 billion yuan fine on Meituan, amounting to 3% of its 2020 domestic revenue, according to a statement Friday. The company will also have to return 1.29 billion yuan of deposits stemming from exclusivity arrangements. Billionaire Wang Xing’s firm was told to improve its commissions mechanism, ensure the legal rights of restaurant partners and step up protections for its delivery riders.
China’s first big antitrust penalty against a tech company was imposed in April on Alibaba, the e-commerce titan co-founded by Jack Ma, one of the richest people in the world. The government’s market watchdog, the State Administration for Market Regulation, fined Alibaba $2.8 billion for preventing the merchants on its shopping sites from selling on other platforms.
The same agency announced shortly after that it was investigating reports of similar practices at Meituan.
