China’s Richest Man Blasts Tech Giants And Government

China’s richest man has criticized online shopping platforms, accusing them of instigating price wars that have harmed companies and industries amid the country’s economic downturn, Juliana Liu reported for CNN.

Zhong Shanshan, the founder of beverage company Nongfu Springs, also targeted the Chinese government, accusing it of being “negligent” in curbing cut-throat pricing. I Photo: Nongfu Spring

In rare and largely censored remarks, Zhong Shanshan, the founder of beverage company Nongfu Springs, also targeted the Chinese government, accusing it of being “negligent” in curbing cut-throat pricing.

Public criticism of the government by business leaders is highly unusual in China and often results in significant repercussions.

Speaking during a visit to a county in eastern China, Zhong specifically called out Pinduoduo, an e-commerce site owned by PDD Holdings, for its pricing practices.

“Internet platforms have brought down (our) pricing system. In particular, Pinduoduo’s pricing system has done great harm to China’s brands and its industries,” he was quoted as saying by state-owned media outlet The Paper.

Zhong added: “It is not just that bad money is driving out good money. It is an (entire) industry orientation, and pricing (has become) the industry orientation.”