Cabinet unveils guideline to ensure fair competition

China's State Council, the country's cabinet, on Tuesday unveiled guidelines to "promote fair market competition" and "safeguard normal market order."

The guideline is meant to let the market play a decisive role and let the government play a better role in allocating resources, and to correct the problem of "incomplete market system, excessive government intervention and insufficient regulation," said the State Council.

To achieve the goal, the State Council first urged a relaxation of market access, saying the government should not restrict any market access unless the investment activities are forbidden by law or harm the interests of a third party, public interest or national security.

According to the guideline, market regulation will be strengthened and monopolies or unfair competition will be harshly penalized.

The State Council aims to establish a market regulatory system featuring sophisticated mechanisms and clearly defined rules and regulations by the end of 2020.