Meituan Backs Draft Rules on Food Delivery Platform Subsidies

China’s State Administration for Market Regulation released a draft set of 10 guidelines on food delivery platform subsidy practices on June 17 and opened it for public comment. According to Jin10, Meituan said it firmly supports the move, will study the draft carefully, and will actively cooperate to implement the requirements. Meituan said long-cycle, large-scale subsidies in the food delivery sector reflect irrational competition and have disrupted normal market order. It said the draft guidelines would clarify compliance boundaries for subsidy practices, curb so-called “involution-style” competition in the industry, and promote more standardized and healthy development. Meituan said it will align its operations with the draft requirements and work with other platforms to fulfill platform responsibilities, aiming to shift competition toward service and quality and to support outcomes that benefit multiple parties.