The Competition Commission of India (CCI) has issued new regulations—the 2025 Cost of Production Rules—to assess predatory pricing by dominant firms. These rules replace the 2009 version and align with evolving global competition practices. The new framework defines predatory pricing as selling below cost to harm competition, with ‘cost’ typically assessed as average variable cost. However, other cost measures may be used based on industry specifics. The regulations also clarify cost definitions and allow expert involvement in disputes. Aimed at enhancing transparency and adaptability, the norms apply across sectors, including digital and e-commerce markets.

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