Updated: 08/18/2014 21:55 | By Agence France-Presse

Mercedes-Benz accused of 'price-fixing': China media

China has accused Mercedes-Benz, a unit of German car giant Daimler, of price-fixing, state media reported, amid an anti-monopoly investigation into foreign carmakers.


Mercedes-Benz accused of 'price-fixing': China media

A Mercedes symbol is pictured in front of the Mercedes-Benz's Shanghai office on August 5, 2014 - by Johannes Eisele

Pricing authorities in the eastern province of Jiangsu have collected evidence that Mercedes-Benz controlled prices of its spare parts and maintenance services, the official Xinhua news agency reported Saturday.

The total cost of all spare parts for a Mercedes-Benz C-class could be 12 times more than a finished model, the report said, citing data from an industry group.

"The Benz case involves typical vertical price-fixing," Zhou Gao, head of anti-monopoly department at the Jiangsu price bureau, told Xinhua.

The bureau was designated by China's National Development and Reform Commission (NDRC) -- one of several Chinese government bodies that investigates violations of the country's "anti-monopoly" law -- to probe Mercedes-Benz for alleged monopoly actions, said Zhou.

A Daimler spokesperson confirmed Monday that the company was still "assisting" Chinese authorities in an investigation but declined  to comment on the Xinhua report.

"We are unable to comment further on what is still an on-going matter," the company said in a statement provided to AFP.

Mercedes-Benz said in early August that it will cut spare parts prices from September in response to the anti-monopoly investigation by NDRC. 

The case comes against the backdrop of a sweeping probe into foreign firms in China, which has spread from pharmaceuticals and baby formula to the auto sector, the world's largest but dominated by foreign brands.

More than 1,000 companies in the country's auto sector, both domestic and foreign, are currently under anti-monopoly probes by the government, the China Daily newspaper has reported.

The NDRC has yet to announce its findings and penalties for the companies involved.

Latest Photo Galleries on xinmsn

NEWS VIDEOS

MORE NEWS VIDEOS

facebook recommendations

LIVE NEWS RADIO STREAMING

  • 938 Live

    938LIVE is Singapore's only English news and talk station which transmits round the clock with an engaging and enticing spread of programmes on current affairs, health, business and lifestyle as well as news every half hour until midnight.

  • Capital 958


    95.8FM城市频道的前身是"第三广播网"。上个世纪30年代末,新加坡就有中文广播,一路走来经过不少政治,社会局势的改变,中文广播在本地一直扮演举足轻重的角色。