Alibaba founder Jack Ma only recently resurfaced online after months away from the spotlight.Credit:AP
It said the practice violates China’s anti-monopoly law by hindering the free circulation of goods and infringing on the business interests of merchants.
The ruling Communist Party is tightening control over China’s biggest e-commerce and other internet companies and has warned them not to use their industry dominance to stifle competition.
The SAMR ordered Alibaba to make “thorough rectifications” to strengthen internal compliance and protect consumer rights.
Loading
The company said in a statement posted on its official Weibo account that it “accepted” the decision and would resolutely implement SAMR’s rulings. It said it would also work to improve corporate compliance.
The practice of preventing merchants from listing on rival platforms is a long-standing one. The market regulator spelled out in rules issued in February that it was illegal.
Alibaba has also been under heavy scrutiny since its founder Jack Ma criticised China’s regulatory system in October.