China's State Administration for Market Regulation has released draft rules to curb what it views as abusive subsidy practices in the food-delivery industry. The proposals, open for public comment until 17 July 2026, aim to outlaw using subsidies and selling below cost to disrupt market competition. The regulator said platforms exhibit problems such as using capital advantages to seize market share and coercing merchants into subsidy programmes, damaging merchants, riders and consumers. The draft bans subsidies that affect market order, prohibits forcing merchants to join subsidy programmes or shifting costs onto them, and bars pricing below cost. Platforms must disclose subsidy campaign details before and after they run, with legal duties and liabilities spelled out.