Other BriefingsSelling Through Livestreams in China? Make Sure Your Content is Legal
New China livestream advertising regulations bring e-commerce livestreaming under the Advertising Law, creating significant new compliance obligations for brands, platforms, and livestreamers. The measures cover which activities now constitute commercial advertising, introduce stricter controls on sensitive product categories, and extend liability to derivative content such as short video clips and social media reposts.
China has tightened rules on advertising through livestreams, one of the country’s most lucrative and effective e-commerce marketing channels.
In January 2025, China’s State Administration for Market Regulation (SAMR) and the Cyberspace Administration of China (CAC) issued the Supervision and Management Measures for Live Streaming E-commerce, a new set of measures regulating the use of livestreams to sell products and services online.
The e-commerce livestreaming industry has, until recently, been relatively loosely regulated, as the format does not fall neatly into categories that are governed by existing advertising and consumer protection regulations. The new Measures, which took effect on February 1, 2026, seek to remedy this issue by setting obligations for all players in the value chain – from the platforms to the brands to the livestreamers – and bringing certain activities under the purview of China’s Advertising Law.
This change has significant ramifications for brands that rely on livestreaming for their sales funnel and to build brand image and consumer loyalty in China. Certain products have become difficult – if not impossible – to promote through this channel, while even low-risk products will need to adhere to content requirements that can be difficult to enforce for the spontaneous, unscripted nature of live broadcasts.
E-commerce Livestreaming in China
E-commerce livestreaming has become hugely popular in China over the last decade and is showing no sign of stopping. According to the 2025 White Paper on the Development of the Live Streaming E-commerce Industry developed SAMR and the Chinese Academy of Social Sciences (CASS), the gross merchandise volume (GMV) of e-commerce livestreaming exceeded RMB 5 trillion (US$735.9 billion) in 2025, accounting for nearly one-third of online retail sales, while the industry’s user base reached 660 million.
What livestreaming activities are now considered advertising?
One of the most consequential changes introduced by the Measures is Article 35, which stipulates that companies and livestreamers publishing content that constitutes “commercial advertising” must fulfill the obligations of an advertiser, advertising publisher, or advertising spokesperson under China’s Advertising Law.
The definition of “commercial advertising” in the context of livestreaming is very broad, and includes:
- Where a person with a certain level of influence, other than the seller of the product or service, recommends or endorses a product or service in their own name or image during e-commerce livestreams;
- Where, for the purposes of promoting a product or service, livestream content introducing said product or service is recorded, edited, and reproduced, and then published online or through other media in the form of text, images, videos, or audio, among other formats;
- Other situations that constitute commercial advertising.
This effectively means common forms of product and service endorsements made by livestreamers will be subject to the general advertising rules. These include prohibitions on certain wording, rules on misleading and false advertising, and product-specific restrictions.
Note that no definition for “a certain level of influence” has been given at this time, leaving this term up to interpretation until further official guidance is given. Nonetheless, businesses should assume that most professional livestream hosts, key opinion leaders (KOLs), and especially celebrities and large content creators will fall within this scope.
Notably, advertising rules will now also apply to all derivative content, such as:
- Short video clips reposted on social media;
- Edited product highlights;
- Text summaries of livestream sessions; and
- Cross-platform promotional content generated from livestreams.
The final catch-all clause means that this provision may be applied to other situations that are not specifically defined, leaving room for regulators to capture novel or unanticipated forms of livestream-derived promotional content as the industry evolves.
Other changes for livestreamers
Certain industries face greater regulatory scrutiny
The marketing of certain sensitive products faces greater regulatory scrutiny, which can makes them almost impossible to promote through livestreams.
For instance, to advertise pharmaceuticals, health foods, special medical purpose formula foods, and medical devices, advertisers must carry out pre-advertising reviews and adhere to stricter content rules.
Importantly, the Advertising Law prohibits the use of “names or images of pharmaceutical research units, academic institutions, medical institutions, or experts, doctors, or patients as endorsements” for advertisements for pharmaceuticals and medical devices.
When marketing pharmaceuticals and medical devices, advertisers may also not use:
- Unscientific assertions or guarantees of efficacy;
- Statements regarding cure rates or effectiveness rates; and
- Comparisons of efficacy or safety with competing products.
These requirements will make the positioning and content planning of livestream advertisements of these products extremely difficult to navigate and may be commercially impractical in some situations.
Rules on AI-generated content
In addition to compliance with the Advertising Law, the Measures outline new requirements on information accuracy and the use of AI during livestreams.
Operators and livestreamers are prohibited from using AI or other technical means to:
- Fabricate or disseminate false or misleading commercial information;
- Impersonate others for commercial promotion; or
- Or deceive or mislead consumers and other business operators.
Where AI-generated images or videos of people are used during a livestream, they must be continuously labeled as such. Liability for any unlawful use of such content rests with the livestream room operator managing or using it.
Real-time monitoring to ensure information accuracy
Operators are required to monitor livestreams in real time to and promptly address any illegal information that may arise during a livestream and maintain records of such incidents for at least three years from the date the livestream ended. They must also maintain a mechanism for correcting errors, so that if a livestreamer makes a mistake or an incomplete or inappropriate statement, it can be corrected on the spot and recorded.
This may require a dedicated team that is well-versed in advertising rules to monitor livestreams and take appropriate action when necessary, and implement robust mechanisms for spotting and correcting errors.
Why this matters for foreign brands
The application of the Advertising Law to e-commerce livestreaming activity opens up a host of new obligations for livestreamers and the brands behind them. This will have a considerable impact on consumer-facing brands for whom livestreaming has become a core sales channel, in particular during the frenzy of major shopping events such as Singles’ Day.
Due to the spontaneous and unscripted nature of livestreams, adhering to the requirements of the Advertising Law will be significantly harder than for more traditional pre-produced text or video-based content. Effectively ensuring that everything that is said on stream will require significant pre-stream planning, which could negatively impact the flow and authenticity of the broadcast. It will also require extremely close coordination with the livestreamer, who will need to be intimately familiar with the legal limits of what can be said about products or services on stream, while remaining engaging and relatable to their audience.
What brands should do now
Brands can take a number of steps to mitigate the risks posed by the new requirements while still creating engaging, high-quality content for viewers.
1. Review livestream marketing governance
Companies should clarify internal responsibility for livestream compliance, including coordination between legal, marketing, e-commerce, and external agency teams.
2. Reassessing high-risk product categories
Businesses should evaluate whether certain products remain suitable for livestream promotion in the stricter regulatory environment.
3. Implement pre-stream review procedures
Companies should establish:
- Approved claims libraries;
- Restricted language lists;
- Compliance-approved scripts; and
- Real-time monitoring and response mechanisms.
4. Train livestream hosts and marketing teams
Under the new Measures, livestream hosts are required to undergo training on laws, regulations, and rules related to online transactions and cybersecurity, as well as on product quality and safety, consumer rights protection, and platform rules, before they livestream for the first time. They must then continue to do training on an annual basis.
While these training sessions are organized by the livestream platform, brands are still encouraged to provide livestreamers with clear guidance on the livestream content before the broadcast, including on
- Prohibited advertising language;
- Product claim limitations;
- Consumer interaction risks; and
- Real-time correction requirements.
5. Review AI and synthetic content usage
Companies using AI-generated hosts, avatars, or promotional materials should ensure proper labeling and compliance review processes are in place.
Liabilities and considerations for businesses
The new Measures show how regulators are seeking to align livestream e-commerce more closely with traditional advertising standards and consumer protection requirements.
Failure to comply with the new Measures or the provisions of the Advertising Law and related regulations can result in penalties, including fines and, in serious cases, suspension of business.
Perhaps more critically, violations can result in significant reputational damage to the brand and the livestreamer involved. China is taking consumer rights increasingly seriously, and consumers themselves are becoming increasingly aware of their rights and cognizant of misleading and deceptive advertising practices.
If your company is currently engaging in e-commerce livestreaming or considering entering the space, it is paramount that advertising policies and practices are reviewed to ensure compliance with the new Measures, and to ensure training for all staff involved, including external partners. This is particularly important given that liability can extend to the operator behind a livestreamer, meaning that brands cannot rely solely on their livestreamers to self-regulate. Companies should pay particular attention to pre-stream planning, product selection, and vetting processes, and the scripts and talking points provided to livestreamers, all of which are now subject to regulatory scrutiny.
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