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Cambodia’s First Law on Competition: What Investors Need to Know | Dezan Shira & Associates

posted 2 years ago

In October 2021, Cambodia’s Law on Competition (the “Law”) came into effect, marking the first-ever consolidated anti-trust law in the country following 15 years of deliberations and delays.

Prior to the Law, which had been in development since 2006, fair competition measures were found in disparate laws and regulations, such as the Law Concerning Marks, Trade Names and Acts of Unfair Competition, and the Circular on Preventing Measures Against Unfair Competition in Telecommunication Sector.

Cambodia is obligated to have a fair competition law under its commitments to the World Trade Organization and ASEAN Economic Community Blueprint by 2025. Cambodia was the last country in ASEAN to adopt such a law.

Most importantly, the Law lays out the activities that are prohibited in Cambodia because they prevent, restrict, or distort market competition. These are delineated in three major categories: horizontal and vertical agreements, abuses of dominant market position, and business combinations.

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