Thailand's e-commerce heavyweight new regulations have been introduced, and the deadline for soliciting opinions is September 18th!

As the global cross-border e-commerce industry flourishes, regulatory policies in various countries are continuously tightening. Thailand has recently taken frequent actions in e-commerce regulation, introducing a series of major new rules that will have a profound impact on platforms such as Lazada and Shopee.

On August 19, the Trade Competition Commission of Thailand (TCCT) issued a key regulatory document, establishing for the first time a dual regulatory system for anti-competitive behavior on digital platforms, clearly including price manipulation and non-price monopolies in a categorized governance framework. The public consultation period for this guideline will end on September 18, meaning that e-commerce platforms and sellers have less than a month to submit feedback.

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Strictly Regulating Pricing Behavior, Prohibiting Below-Cost Pricing

The draft of the new regulations sets multiple red lines for price regulation.TCCT explicitly prohibits below-cost pricing, meaning platforms or sellers are not allowed to set prices below the average total cost without reasonable justification.

This practice, known as "predatory pricing," refers to platforms selling goods or services at prices below cost with the intention of squeezing out competitors. Once competitors are driven out of the market, prices are raised to obtain monopoly profits, seriously disrupting the normal market price order.

Also prohibited are "price parity clauses," which prevent sellers from offering lower prices on competing platforms or other channels. This has been a common method for platforms to maintain price advantages in the past.

The new regulations also say no to "resale price maintenance," meaning platforms cannot forcibly set resale prices and punish sellers who do not comply.

It is worth noting that algorithmic price manipulation is also explicitly prohibited. Platforms cannot deploy automatic ranking or price ranking systems to directly or indirectly distort fair competition.

This shows that regulators have already noticed the new risks of unfair competition on digital platforms using technological means.

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Regulating Non-Price Behavior to Prevent Platform Abuse of Advantage

In terms of non-price behavior, the draft also makes comprehensive provisions.

"Self-preferencing" behavior is explicitly prohibited, meaning platforms cannot use algorithms or design to limit the visibility of sellers' products while prioritizing the display of their own products or those of favored partners.

Although this behavior may not be as direct as price-related actions, it can also constitute unfair competition.

Platforms also cannot force sellers to use their designated services, including logistics providers, payment gateways, or advertising services.

Exclusive operation restrictions are also prohibited. Platforms cannot impose conditions that prevent sellers from selling on competing e-commerce platforms, nor can they penalize violators by suspending accounts or removing products.

In terms of data usage, platforms cannot use data collected from sellers to provide unfair competitive advantages to their own affiliated companies. This provision aims to prevent platforms from acting as both referee and player, ensuring fair market competition.

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Regional Regulation Becomes Consensus, Global Trend Is Consistent

Thailand is not an isolated case in e-commerce regulation. Strengthening regulation of the e-commerce industry has become a consensus among major countries and markets. Vietnam, also in Southeast Asia, faces similarly severe regulatory conditions in its e-commerce industry.

Nguyen Ngoc Dung, Chairman of the Vietnam E-Commerce Association, previously stated bluntly,“Under strict inspection, only 2% of products on e-commerce platforms are legal.”

After discovering this issue, the Ministry of Industry and Trade of Vietnam swiftly and decisively announced a series of tough measures: for non-compliant products, the ministry took them off the shelves; for non-compliant merchants, penalties included fines, suspension of business, and even revocation of business licenses.

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The Korean market also attaches great importance to the regulation and supervision of the e-commerce industry.

According to statistics from its Fair Trade Commission,in 2024, there were 124 sanctions against enterprises, with a total of 308 entities penalized; the total amount of fines imposed on enterprises increased from 435 billion won in 2023 to 5500billion won, a year-on-year increase of26.5%. Through economic penalties, a strong deterrent is formed for enterprises, prompting them to strictly comply with relevant laws and regulations.

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Compliance Operations Become the Inevitable Choice

With the strengthening of regulation, non-compliant enterprises will gradually be eliminated from the market, while those cross-border e-commerce companies that can actively adapt to regulatory policy changes and strictly comply with laws and regulations will usher in greater development opportunities.

For cross-border e-commerce enterprises, only by closely monitoring regulatory policy trends in various countries, proactively adapting to regulatory requirements, and continuously improving their compliance management capabilities, can they move forward steadily and achieve long-term development in this market environment full of challenges and opportunities.