![]() This means that China has moved swiftly to establish a comprehensive system of consumer protection from the pre-existing legal system in which basic concepts of individual rights and liabilities were previously unknown (Wu, 1983). ![]() In terms of consumer law more specifically, legal protection for individual consumers in China was completely absent prior to the commencement of the modern “reform and opening-up” ( gaige kaifeng) period in 1978 with the first comprehensive Consumer Protection Law passed only in 1993 (Lubman, 1999). 410) thus, strong law and policy is crucial to secure continued growth in consumer spending. Consumer confidence relies on the law (Twigg-Flesner, 2005, p. China’s consumer law and policy is also of interest as the correlation between consumer confidence and continued growth in consumer spending is well documented (Ludvigson, 2004). Hence, China’s consumers are of great significance both domestically and internationally. Additionally, China’s consumers are not only significant within the domestic economy but globally too, with China expected to overtake the USA as the world’s largest consumer market by 2034 (Oxford Economics, 2018). Secondly, despite rapid growth in China’s middle class (and corresponding rates of disposable income per capita), there is still huge further potential in consumer spending available to be unlocked, due to historically high household saving rates leading to low private consumption rates internationally (Cheng & Luk, 2021). Firstly, consumers play a fundamental role in China’s economic development and consumption “is the main driving force boosting economic growth” in 2021, consumption expenditure contributed to 65.4% of China’s economic growth, driving 5.3% of GDP growth (Fan, 2022). The EU is selected for comparison because it has a well-debated consumer acquis whilst India and South Korea add a more regional Asian perspective to the comparative analysis.Ĭhina’s definition of a “consumer” is of interest for several reasons. Thus, it would be difficult if not impossible to select just one comparator for the purposes of analysing consumer law and policy. It is therefore neither a typical emerging market economy nor an equivalent to a Western industrialized economy” (Choi et al., 2013). China is unique in terms of economic and legal development “it is a developing country with a developing legal system, but has a booming economy and a vast number of consumers. A number of jurisdictions will be considered within the comparative analysis, focusing on the concept of consumer to be found in the European Union (EU), as well as India and South Korea. ![]() This article will explore this Chinese definition of a “consumer” to both consider the notion in comparative perspective and also to propose how China’s vague and unworkable statutory definition of a “consumer” should be amended in future. ![]() The definition of a “consumer” within China’s Consumer Protection Law in Article 2 is: “The rights and interests of consumers purchasing and using commodities or receiving services for daily consumption shall be protected by this Law.” This definition found in Article 2 has been strongly criticized as it can be difficult to apply to real life situations and is imprecise. Thus, examining the “consumer” in depth can help in further understanding the nature and character of Chinese law generally. Analysing the notion of “consumer” also helps to establish a benchmark of what is expected of traders and of consumers (Cartwright, 2016, p. Examining the normative concept of the “consumer” is highly illustrative by revealing the type of consumer that the law will protect, it can shine light on the characteristics of a given legal system, as well as its underlying economic model (Cseres, 2016, p. Who does the law treat as a “consumer” and why does it matter? How should China’s notion Footnote 1 of a “consumer” best be articulated within the law and applied in practice? This article will attempt to answer these intriguing questions by first focusing on the approach taken to define a “consumer” in the People’s Republic of China’s (PRC) Law on the Protection of Consumer Rights and Interests, which was first passed in 1993 and of which the most substantial amendment took place in 2013, before examining the legal notion of a “consumer” in comparative perspective in order to further understand the competing rationales behind the consumer protection law.
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