China has fined 12 Japanese car part firms for a record amount of 1.2bn Yuan ($202m; £121m) for price-fixing. The country’s anti-monoloply regulator, National Development and Reform Commision (NDRC), has said the companies were working together to reduce competition.
The Chinese government has been stepping up it’s enforcement of it’s anti-trust law and targeted major corporations around the world, including the US and Europe, reviving protectionism concerns.
Denso Corp and Mitsubishi Electric Corp were amongst the 12 auto parts makers to be fined, with Sumitomo Electric Industries Ltd being the hardest hit with a 290.4 million Yuan ($47.2m; £28.4m) fine.
It was only on the 18 Augst 2014 that the regulator also announced that they found Mercedes-Benz guilty of price manipulation in China. Claiming that the car manuracturer abused it’s control over supplies of replacement parts.
Ball bearing makers NSK Ltd, NTN Corp and Jtekt Corp have also been fined under the same anti-trust laws.
China is now the world’s largest car market, overtaking the US, and auto makers have been under scrutiny following allegations of overcharging customers.