12 Japanese suppliers facing $200 million in fines in China

Article by Christian A., on August 22, 2014

Twelve Japanese suppliers in China were found by National Development and Reform Commission guilty of price fixing and are now facing a record CHY1.24 billion ($200 million) in fines. NDRC said in a statement on its Web site that it has found eight Japanese auto-parts makers and four bearings manufacturers guilty of collusive behavior.

Among the 12, Sumitomo Electric Industries Ltd. and Yazaki Corp. were given the heaviest fines. The probe into the suppliers were part of a larger investigation into pricing practices in the auto industry, which has prompted at least seven carmakers to trim prices while there is a rising concern that China is picking on foreign companies on its soil.

The suppliers fined by NDRC include Denso Corp., Aisan Industry Co., NSK Ltd., Hitachi Automotive Systems Ltd., Mitsubishi Electric Corp., Mitsuba Corp., Furukawa Electric Co., Nachi-Fujikoshi Corp., Jtekt Corp. and NTN Corp.

Authorities in the United States and Europe have also launched separate antitrust probes against several Japanese auto suppliers. For instance, NGK Spark Plug recently agreed to pay a $52.1 million in fines while pleading guilty to a felony charge for its role in fixing the prices of spark plugs and other components in the US.

Investigations in the countries, which have already spanned several years, have prompted 28 companies and 26 executives pleading guilty or agreeing to plead guilty in the probe. They also agreed to pay $2.4 billion in criminal fines, according to the Justice Department said Tuesday.

Akira Moriwaki, the chief representative in Shanghai at the law firm of Anderson Mori & Tomotsune, quipped that the NDRC “used to be a sleeping tiger," adding that after accumulating experience, the agency’s antitrust probes targeting foreign companies will only grow in number from now on.

Topics: china

If you liked the article, share on:

Comments

Recommended

Citroen revealed that its entry to the Chinese market is moving forward with the planned release of the new generation C5. While still on sale on this part of the...
by - February 26, 2017
There is definitely a second-generation Super Series from McLaren. Even in camouflaged form, it is simply incredible. But while we still don’t have the full data on how truly dynamic...
by - February 25, 2017
A lot of fans are excited with the news that Porsche could be unveiling a performance version of its Panamera 4 E-Hybrid plug-in hybrid during the 2017 Geneva Auto Show. ...
by - February 25, 2017
Tesla is finally setting a more “definite” schedule with regards to the official launch of the Tesla Model 3 electric car. A “limited production” is said to be slated to...
by - February 25, 2017
Are you a big fan of legendary boxer Mike Tyson, the former heavyweight world champion? Or are you a big fan of the iconic Ferrari F50? Either way, you will...
by - February 24, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries