Out of the 15 cases brought before the Competition Tribunal, the Commission was successful in all six cases that have been fully resolved. The respondents were ordered to pay fines and legal costs as a consequence of their anti-competitive behaviour, and certain directors of the companies concerned were disqualified from acting as a director for any company and/or being involved in the management of a company as a result of the role they played in the company's contravention.

In addition to litigation, the Commission has adopted non-litigation remedies in five cases to address anti-competitive behaviour. These remedies include accepting commitments from the parties involved and issuing infringement notices as enforcement outcomes.  In both of these situations, the parties were made to adopt significant and meaningful measures to cease their anti-competitive conduct and to ensure that they will not contravene the Ordinance in future.  

For example, the Commission’s acceptance of commitments from seven car distributors to remove restrictive warranty terms on car owners last year was a vivid example of the efficacy of such remedies.

As of October 2023, the Commission has conducted assessments and investigations in 260 cases to examine potential anti-competitive practices or contraventions of the Ordinance.   

With a staff of around 70 full-time employees, including supporting staff, the Commission has made considerable progress in enforcing and promoting competition law in the territory over the past eight years. Despite its relatively small size, the Commission's accomplishments are generally on par with competition law agencies in neighbouring jurisdictions during the same period, or even outperform on certain aspects.  

Collaborative approach inspires peers

With the current team of executives being native Hong Kong residents, the Commission possesses an intimate understanding of local industry practices and what Hongkongers care about most in their daily lives. This enables them to effectively drive initiatives and protect consumers from anti-competitive behaviour, ensuring fair play especially in livelihood-related sectors.   

In addition to leveraging its local expertise, the Commission has recognised the value of collaborating with other public bodies like the Hong Kong Police Force to enhance its enforcement activities. This partnership has yielded significant results in cracking down on illicit practices, as seen through their joint operations targeting illegal activities at the Aberdeen Fish Market.  

The success of the Commission's collaborations with other law enforcement agencies has sparked interest from competition authorities in other jurisdictions, who are now considering similar collaborative approaches to enhance their enforcement efforts and replicate the positive outcomes.

Survey reveals growing awareness among public and businesses   

Vigorous enforcement actions, along with comprehensive advocacy initiatives, have contributed to a significant increase in awareness of the Ordinance among individuals and businesses.  

The findings of a survey conducted between October and November of this year by an independent research company indicate that these efforts have resulted in increased awareness among individuals and businesses.  

Approximately 68% of the respondents indicated that they had heard or read about competition cases handled by the Commission in Hong Kong. Moreover, around 73% of them expressed their belief that implementing the Ordinance is relevant to them as consumers.  

In addition to individuals, the survey findings also show significant increase in awareness among businesses. An impressive 81% of businesses reported that they had heard about these cases, while approximately 75% of businesses recognise the importance of the Ordinance in creating fair competition within their respective industries.

However, only about 36% of businesses have discussed compliance with competition law in the past year, and only about 33% of businesses have implemented specific programmes, checklists, collaterals or training focused on compliance with the Ordinance.

Disparity in compliance measures between small and large businesses  

The survey findings also indicate a notable disparity between small and large businesses regarding their compliance measures with competition law, which is a matter of concern.   

While nearly 50% of non-SMEs have reported having specific measures in place to ensure compliance, implementing similar measures among SMEs is significantly lower, with only 24% having taken steps to comply with the law.  

Continued efforts in promoting compliance, with a focus on SMEs     

"We are encouraged by the survey results, which reflect the positive impact of the Competition Ordinance on both individuals and businesses," says Rasul Butt, Chief Executive Officer of the Competition Commission.  

While there has been progress, it is important to acknowledge that businesses still have room to improve their understanding and compliance with competition law. SMEs, in particular, may face challenges in this regard, such as limited resources and a lack of compliance plans.   

In light of this, Butt says the Commission is dedicated to enhancing its efforts to promote competition compliance in the business sector, with a particular emphasis on SMEs.  

The ultimate goal is to prevent and discourage anti-competitive practices at the outset, thereby helping to safeguard a fair and competitive business environment for all.