China launches probe into food delivery platforms to curb intense price wars

China’s market watchdog has launched an official investigation into fierce competition among major food delivery platforms, including Meituan, Alibaba-linked Ele.me and others, aiming to address aggressive price wars that have significantly squeezed profit margins and distorted fair market conditions. The probe, announced this week by the State Administration for Market Regulation, seeks to curb practices such as heavy subsidies and predatory pricing that critics say harm smaller businesses and destabilise market order. Officials said the investigation will focus on improving the sustainability of the sector and protecting consumers while encouraging healthy competition among delivery services, as China’s broader efforts to stabilise prices and economic activity continue.