China's probes into foreign firms spread to the auto sector Tuesday as German car giant Daimler said it was assisting authorities, after reports a Shanghai office of its Mercedes-Benz unit was raided.
"We confirm that we are assisting the authorities in their investigation," Daimler Greater China said in an email to AFP.
It is the first confirmation of an official inquiry into a foreign automaker in China, the world's largest car market, after authorities targeted overseas firms in several different sectors over the past year.
A team of nine anti-monopoly investigators from China's National Development and Reform Commission (NDRC) paid a surprise visit to a Mercedes-Benz premises in Shanghai on Monday, grilled employees and "forcibly" checked computers, reported Jiemian, a new media platform of state-run Shanghai United Media Group.
It quoted an unnamed source saying that the investigation focused on "Benz's prices of finished automobiles and its policy of maintaining minimum prices with distributors".
The NDRC is one of several Chinese government bodies which investigates violations of the country's "anti-monopoly" law. It is responsible for doing so from a pricing perspective.
The Mercedes-Benz office, in a western suburb of Shanghai, includes a dealership with a showroom and a service centre.
Several showroom employees told AFP they were unaware of any investigation.
But a security guard said the premises were visited by an investigation team two days in a row.
"They were here all day yesterday and three or four hours this morning," he said.
A sign outside says it is an authorised dealer of Mercedes-Benz China and the Beijing Benz Automotive Co. -- a joint venture between Daimler and Chinese partner BAIC Motor, which has been producing Mercedes-Benz passenger cars since 2006.
Since last year, China has launched sweeping probes into alleged wrongdoings by foreign companies in several sectors, including the pharmaceutical and baby milk powder industries.
Last week, a Chinese government agency said it was investigating US software giant Microsoft for allegedly operating a monopoly in its market.
The State Administration for Industry and Commerce (SAIC), which also enforces the anti-monopoly law, said that probe centres on Microsoft's Windows operating system -- which is used on the vast majority of computers in China -- and the Office suite of programs.
State media have said China is planning to announce US chip maker Qualcomm has monopoly status in the mobile phone chip market.
And last year, China fined six baby formula producers -- all but one of them foreign -- a total of $108 million for price-fixing.
GMT 22:53 2018 Thursday ,13 December
Indian Minister of Trade meets with UAE Ambassador, Chairman of Emaar PropertiesGMT 13:41 2018 Thursday ,06 December
Tyre maker Continental opens lab to extract rubber from dandelionsGMT 15:22 2018 Friday ,30 November
Paper industry around famous Chinese lake to be shut down by 2019GMT 11:13 2018 Sunday ,18 November
Electricx 2018 kicks off with participation of over 20 countriesGMT 14:17 2018 Thursday ,25 October
BP eyes entering several new Rosneft projectsGMT 12:08 2018 Saturday ,20 October
OPEC participants performed Vienna Agreement by 111%GMT 16:14 2018 Saturday ,06 October
Saudi Aramco IPO to go ahead by early 2021GMT 19:01 2018 Thursday ,04 October
LEAD S. Korean firms offer aid for quake-hit IndonesiaMaintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©
Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©
Send your comments
Your comment as a visitor