China's football association (CFA) will introduce a salary cap for its top-flight Chinese Super League next season as part of measures aimed at limiting spending and ensuring sustainable growth, state news agency Xinhua reported.
Salaries for domestic players would be capped at 5 million yuan ($762,939.45), while those of foreign players cannot exceed 3 million euros ($3.64 million), Xinhua said.
Clubs will be allowed to spend up to 600 million yuan per year on salaries, with a maximum of 10 million euros on foreign players, the report added.
Teams exceeding limits will be docked six to 24 points and players whose salaries exceed the cap will not be allowed to participate in matches organised by the CFA.
"CSL club expenditure is about 10 times higher than South Korea's K-League and three times higher than Japan's J-league. But our national team is lagging far behind," CFA President Chen Xuyuan said.
"The bubbles not only affect the present of Chinese football, but also hurt its future."
Spending limits have also been introduced for the second and third tiers.
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