Mercedes Slapped With $56M Fine in China for "Price Fixing"
The Chinese province of Jiangsu has levied a 350 million yuan ($56 million USD) fine against Mercedes-Benz in continued efforts to break perceived monopolies in car and part sales. It’s the largest fine given to an automaker to date.
The latest fine aimed at a foreign automaker comes after similar actions against a “Chinese venture of Volkswagen and a sales unit of Fiat Chrysler Automobiles’ Chrysler division” amounted to a combined $46 million, says the report from Automotive News. The specifics of the Mercedes fine point at the automaker forcing dealers to set minimum prices for cars and spare parts. The pricing regulator in Jiangsu province also fined Mercedes dealers to the tune of 7.7 million yuan ($1.25 million USD).
Mercedes-Benz China said they accept the decision taken by the provincial pricing regulator and has “taken all appropriate steps” to comply with the law in the future.
More by Mark Stevenson
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How can a province do this on their own Accord? MB has to simply accept the fee? (I'd want to fine them as well if they started shoving that gold chromed suppository up there in my face.) Edit: I did NOT intentionally capitalize the word accord, but I'm gonna leave it there now.
So...in While You Were Sleeping we find JLR has to accept that copy and paste is the new world (Chinese) order. Then we see China can go and collect money as it sees fit from foreign investors. As must as I want to feel sorry for these folks, they are the ones who chose to go into the Chinese market and play in a game the rules are written in pencil. Plus, what is the difference between this and the US Gov deciding to fine Toyota all those billions for a crime as yet, in my mind, to hold water????? And as far as copy and paste...what car looks unique these days? It seems Hyundai and Ford all have the same trapezoid grill, everybody stole Mazda's fender look...it goes on.
Was bored one day and looked at random car parts prices. A front shock for an 06 jaguar "super v8". Almost 1500$.
So it's left to the ChiComs to enforce competition laws? What is the world coming to?