MEITUAN (=) : Chinese regulator’s latest move a sentiment booster for MT but unlikely to change the long-term outlook

研报英文原文证据摘录

MEITUAN (=) : Chinese regulator’s latest move a sentiment booster for MT but unlikely to change the long-term outlook

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FLASH NOTE

Chinese regulator’s latest move a sentiment booster for MT but unlikely to

change the long-term outlook

18 JUNE 2026 Securities Research Report Production time: 02:35* (London time)

Research Analyst & Publishing Entities

Colin LIU BNP Paribas Securities (Asia) Limited +852 2825 1083 colin.liu@asia.bnpparibas.com

What happened?

On June 16, the State Administration for Market Regulation (SAMR) drafted the Ten Provisions on Regulating Subsidy

Practices of Food Delivery Platforms (Draft for Comments), according to Xinhua News. It signals regulators are

formalizing its intervention to the competition in the China food delivery market, from window guidance to legislation.

The draft consists of four areas of focus: 1) no subsidies should disrupt market order; 2) prohibition of forcing merchants

to subsidize consumers; 3) improve disclosure of the impact of subsidies to the public; and 4) specification of legal

consequences of any violations.

BNPP View:

Positive for sentiment; in line with our expectations on Meituan and Alibaba. The Draft and potential legislation

will set a clear legal boundary preventing Alibaba and Meituan reverting to the brutal competition in 2025. Particularly

for Meituan, we believe it is a relief on its short-term competition pressure, which bodes well for its food delivery (FD)

business back to OP level breakeven in 2Q26, and a significant unit economy improvement of FD in 2H26. For Alibaba,

we believe its guidance of achieving quick commerce (QC) profitability in two years’ time echoes well with the Draft