The Choice of Competition Law and the Development of Enforcement in Asia: A Road Map Towards Convergence

Abstract

Despite the distinct backgrounds of competition law in Asia, most Asian countries have adopted similar legal provisions, for example, clarifications of the objectives of competition law and the presumption criteria of market dominance. This is understandable because it was necessary for competition policymakers in Asia to design legal provisions that could ensure a certain level of predictability in the implementation of the laws, thereby improving legal certainty, even in the absence of accumulated case law. The preference in Asian countries for legal certainty provides a friendly environment for the localised harmonisation of the laws in Asia. However, some gaps still exist among Asian countries in their levels of enforcement. Variations in the degree of enforcement may cause harm not only to the public as a whole, but also may impede the free flow of trade across the borders in Asia. Therefore, it is crucial for agencies that regulate competition in countries that have recently adopted competition laws to establish the proper role of competition policy. This article discusses the trends in competition policy and its potential for development through cooperation among the various competition authorities in Asia, and thereby, to increase their understanding of the role of competition law to facilitate effective enforcement.