Chinese automobile antitrust foreign car companies have cut prices

Chinese automobile antitrust foreign car companies have cut prices
Phoenix Automotive News In recent years, China has gradually developed into the world's most important automotive market , which directly help the public, Mercedes-Benz, Jaguar Land Rover and other car companies in the Chinese market to achieve substantial growth . However , recently, according to German media reports, China 's antitrust division began to put pressure on foreign car companies have started to cut prices . Details are as follows :
Although the booming Chinese car , but has been Audi, BMW and Daimler and other foreign manufacturers dominate the market . July 26 , Audi announced the initiative since 1 August cut the price of domestic models of original spare parts , down , or up to 38% ratio . ""As a leader in high-end car market , Audi offered to adjust the price , "" the company said , ""Audi and its joint ventures - FAW Volkswagen to support China NDRC inspection service in the field of pricing and will be actively cooperate ."" In addition, Audi "" parts and vehicle sales price and the price ratio "" will also be reduced. For example, the Audi A6L ""zero integer ratio "" would be reduced to 411% from 291% .
Jaguar Land Rover also announced that from August 1 it cut the price of three models . National Development and Reform Commission antitrust investigation by the support of these two companies , the National Development and Reform Commission also called on other manufacturers to positive response.
NDRC 's move to allow some industry analysts by surprise. Analyst Max Warburton said: "" Two years ago, there were a precursor to the investigation , but we did not expect to have a direct price instructions which will certainly affect the profits of companies such as Audi and Jaguar Land Rover 's . ."" It Warburton estimated at the international automobile market , the share of spare parts business for about 10% of total sales, while its sales to give car manufacturers to bring up to 40% of the profits.
Warburton believes some action under pressure from other car manufacturers also seems to send a monopoly . Earlier , there have been media reports, Mercedes - Benz is already in early July for maintenance services prices were adjusted . Another main Chinese luxury car market - a spokesman for BMW said that BMW has no because of "" violation of Chinese anti-monopoly law"" under investigation ; which said: "" We have been closely and strictly abide by relevant Chinese government laws and regulations . ""
Under pressure from the National Development and Reform Commission , car manufacturers in Germany and other countries may face the problem of losing market share. However, it also gives local manufacturing opportunities in China . According to statistics, China 's domestic auto brand sales in the first four months of 2014 compared to last year fell by about 5 percent , the brand's sales in China accounted for only 22% of the total Chinese market sales.