BEIJING, (Reuters) – China’s Antimonopoly Bureau will intensify legal enforcement of monopolistic behavior and promote the amended antimonopoly legislation to enhance the regulatory framework. Gan Lin, the chief of China’s national antimonopoly agency, stated that this was an important step in China’s efforts to strengthen the legal system.

China elevated last month the rank of the antitrust regulator, the National Anti-monopoly Bureau. Gan was appointed chief. This would allow antitrust investigators to gain more resources for examining mergers.

Gan claimed that China is still facing “insufficient punishments” for certain monopolistic actions, though some antitrust regulations have remained at the elementary level.

Gan stated that “with the rapid growth of the digital economy and new industries, business models, and other businesses emerging every day, there are many differences in the competition modes between new and traditional economies,” in an interview posted on Sunday by the State Administration for Market Regulation.

“It is imperative to continue improving the industry and antimonopoly laws.”

China’s once laissez-faire approach towards market regulation in the internet sector has been radically changed by blocking mergers this year and imposition of a record $2.75 Billion fine on its ecommerce giant Alibaba Group Holding was accused of abusing its market position.

Alibaba was found guilty of the “choosing from two” practice, in which an online platform prohibits vendors selling on other sites.

Gan stated that this was an unusual practice at China’s “618” shopping festival and the Singles’ Day internet shopping festival. This year, after the bureau started a sector-wide rectification.

Meituan was fined $527 million in October for abuse of its position.

Gan explained that the orderliness and competition in markets has improved tremendously, with smaller businesses now having more space.

Gan indicated that Gan will be stepping up antimonopoly review of concentrated companies and will prevent the disruption of the market by preventing mergers and excessive capital growth as the next steps.