The a2 Milk Company (ASX:A2M) has released a statement regarding the legislative branch of the Chinese Government passed a new law providing a framework in respect of e-commerce in China.
The new law was passed on Friday 31 August and will come into effect from 1 January 2019 and will cover e-commerce operators, contracts, dispute resolution and promotion both domestic and cross border.
The Company welcomes the new e-commerce law and believes it will ultimately further protect the rights and safety of consumers and the overall integrity of the channel.
The Company’s business operates a flexible multi-channel multi-product strategy to best position the brand for growth. The Company will continue to work proactively with its partners to respond to the new e-commerce law and the yet to be released implementation guidance as appropriate.
Shares in a2 Milk Company (ASX:A2M) closed 1.29 per cent lower to $11.50 on Friday