Market regulators clamp down on price gouging

Shanghai's market regulators had busted 402 cases involving pricing violations as of Saturday since the COVID-19 resurgence, authorities revealed on Sunday.

Among these cases, 62 percent came from residents' complaints and tip-offs, and 13 percent from cyberspace monitoring and patrols, according to the Shanghai Administration for Market Regulation.

Some businesses came up with the idea of profiteering from the pandemic in late March after the supply chain and delivery of goods were affected, officials said.

A number of notifications have been released by authorities since then to curb the trend. Consumers are reminded to be vigilant over the practices, covering goods such as rice, meat, vegetables and milk that are closely linked with people's livelihood.

In total, 63 cases were deemed as price gouging. The price gap of procurement and sales for quite a number of businesses exceeded 100 percent, with the highest 486 percent, according to the administration.

Extra charges, failure to mark prices clearly and untransparent product information accounted for 80 percent.

A few businesses were found tricking consumers into deals via fake and misleading pricing.

Some businesses used the stunt such as "organic food" to lure consumers into buying so-called "high-quality" goods, and some gouged prices by significantly raising delivery fees, officials said.

Authorities hold "zero-tolerance" attitude to such acts and imposed hefty or maximum fines based on pricing regulations over these violations, the administration noted.

For a few cases leading to severe social impact, businesses have been suspended from operation for rectification.

In these cases, consumers have had extra payment returned.

As an increasing number of businesses and companies are resuming operation, the administration said charges for products and services related to business resumption, such as nucleic acid testing and disinfection, will be a priority.