Despite years of government-mandated "speed upgrades and tariff reductions" in China's telecom sector, many consumers find themselves locked into expensive mobile plans through opaque contracts and aggressive sales tactics. A recent investigation by state media highlights the growing frustration with practices that make it easy to upgrade a plan but notoriously difficult to downgrade, raising questions about consumer rights in a critical utility service.
The Struggle to Downgrade and "New User" Barriers
For many long-term mobile subscribers in China, attempting to switch to a cheaper plan is a frustrating ordeal. Users report encountering significant resistance from telecom operators, who employ tactics to keep them on higher-priced packages. A common strategy is the "new user exclusive" offer, where attractive, low-cost plans are advertised but are unavailable to existing customers. When users like Mr. Wang from Haikou inquired about switching his CNY 99 plan to a new CNY 39 package, he was told it was for new subscribers only and was instead offered a much less competitive alternative. This creates a perverse incentive where the only way to access the best deals is to abandon one's long-held phone number and become a "new" customer elsewhere, effectively penalizing loyalty.
Reported Consumer Grievances:
- Plan Downgrade Difficulty: Users are routinely blocked from switching to cheaper plans, often by being told offers are "for new customers only."
- Hidden Contract Terms: Long-term contracts (e.g., 24 or 36 months) with early termination penalties are not clearly disclosed during sales.
- Misleading "Free" Offers: "Free phone" promotions bundle users into expensive, long-term plans without adequate explanation.
- Targeted Marketing: Elderly users are particularly vulnerable to opaque sales tactics for contract-linked devices.
- Opaque Pricing: Advertised plans with high data caps (e.g., "29元580GB") may primarily consist of restricted "定向流量" (定向流量) or throttle speeds after a limit.
The Hidden Costs of Contractual Fine Print
Beyond simple refusal, a more insidious method involves binding users with long-term contracts that carry hefty penalties for early termination. These contracts are often buried in the fine print of service agreements or presented misleadingly by sales agents. Mr. Huang from Changchun discovered that his CNY 129 monthly plan, which included broadband, was part of a 36-month contract. To downgrade, he would face a违约金 (penalty fee) of CNY 40 for every remaining month, making the switch financially nonsensical. In many cases, salespeople emphasize benefits like "free devices" or "speed boosts" while downplaying or omitting details about the contract length and exit costs, leading customers to sign without fully informed consent.
Targeting Vulnerable Demographics with "Free Phone" Traps
Some of the most concerning practices specifically target elderly users. Sales agents promote "free phone" giveaways to "thank loyal customers," but fail to clearly explain that accepting the device automatically enrolls the user in a multi-year contract with a significantly more expensive monthly plan. Once the contract is signed—often with a video recording as "proof" of agreement—users find themselves trapped. Attempts by family members to cancel are met with demands for high违约金, citing the signed agreement. This practice exploits a potential gap in understanding and highlights a severe lack of transparency in the sales process.
Regulatory Response and the Path Forward
In response to mounting complaints, Chinese regulators have begun to take action. The Ministry of Industry and Information Technology (MIIT) has launched a "Transparent Service, Assured Usage" campaign. Major carriers like China Mobile, China Telecom, and China Unicom have publicly pledged to simplify their plan offerings and guarantee that any requested plan changes will be processed within 48 hours. Furthermore, provincial communications authorities are conducting audits and ordering companies to retrain staff who provide inaccurate information to customers. While these are positive steps, experts argue that sustained regulatory pressure, clearer industry standards, and robust consumer complaint channels are necessary to effect lasting change.
Regulatory and Industry Actions (2025):
- MIIT Campaign: The Ministry of Industry and Information Technology launched the "明白办、放心用" (Transparent Service, Assured Usage) action.
- Carrier Pledges: Major operators committed to simplifying plans and processing user-requested changes within 48 hours.
- Local Enforcement: Provincial communications bureaus (e.g., in Hainan) are conducting tests and ordering corrective training for inaccurate customer service responses.
- Legal Basis: Practices are challenged under the Consumer Rights Protection Law (right to choose) and the Telecommunications Regulations (prohibition on limiting user choice).
A Call for Transparency and Consumer-Centric Service
The core issue extends beyond individual sales tactics to a fundamental business model that often prioritizes acquiring new customers over satisfying existing ones. Performance metrics for sales staff are frequently tied to signing up high-value plans, creating a systemic incentive to "push high, not low." Legal experts stress that operators have a duty to provide clear, unambiguous information and to obtain genuine informed consent. For the telecom sector, which is a fundamental utility, the future must involve a shift from aggressive "land-grab" marketing to competing on genuine value, network quality, and transparent, trustworthy service that respects consumer choice.
