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How China’s delivery giants are moving from price wars to smears: official media

Chinese media investigation alleges Meituan paid merchants to expose rival practices while facing similar complaints itself

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Meituan riders in Chengdu. The delivery giant has come under scrutiny following allegations it paid merchants to report alleged irregularities by a rival platform. Photo: Shutterstock
Coco Fengin Guangdong

The fierce battle among China’s food delivery giants has moved beyond aggressive discounting, with market leader Meituan accused of paying merchants to provide negative information about a major rival, according to an investigative report by state-owned newspaper Shanghai Securities News.

The controversy dates back to October 2025, when Beijing’s market regulator launched a campaign to curb unhealthy competition and price wars in the food delivery sector. The newspaper reported that Meituan paid merchants to report alleged irregularities by Alibaba Group Holding’s Taobao Shangou, while engaging in similar practices itself.

In one case, a dumpling restaurant received 5,000 yuan (US$738) for disclosing that Taobao Shangou had reduced the listed price of one of its dishes without the restaurant’s consent, according to the report, which cited the restaurant’s manager.

The revelations come as competition in China’s food delivery market intensifies and regulators step up scrutiny of industry practices. Just days earlier, police uncovered a coordinated smear campaign targeting Taobao Shangou and another major player, JD.com.

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