China to impose 30 million euros fine against Audi for violating anti-monopoly laws

Article by Christian A., on August 15, 2014

China will impose a CHY250-million fine (EUR30.4 million) against Audi for violating anti-monopoly laws, according to a report by the 21st Century Business Herald business daily, citing an unidentified yet authoritative source.

The business daily said the fine being imposed on Audi is calculated based on a percentage of its car sales in 2013 in Hubei. Under China’s anti-monopoly law, the National Development and Reform Commission (NDRC) can impose fines of between 1 percent and 10 percent of a company's revenues for the previous year.

The NDRC has been probing into the business practices of Audi's sales arm with dealers in Hubei. Audi has disclosed that its sales arm -- a joint venture between parent VW Group and FAW Group -- had violated "part" of China’s anti-monopoly laws, adding it would accept the penalty.

NDRC has been investigating into monopolistic behaviors of foreign companies in different industries, with an aim to bring them with its anti-monopoly law passed in 2008.

According to Automotive News, NDRC probed the auto sector in the country, following allegations from state media that global carmakers are selling their vehicles at a much higher rate in China than in countries.

Other global carmakers now under NDRC’s scrutiny for anti-competitive behavior include Mercedes-Benz and Chrysler. [source: automotive news - sub. required]

Topics: china, audi

If you liked the article, share on:

Comments

Recommended

Earlier this month, Porsche introduced to us the 911 Turbo S Exclusive Series. The car wore a Golden Yellow Metallic paint. The same time it was launched, the company said...
by - June 26, 2017
Last month, the Lamborghini Centenario made its way to the Transformers: The Last Knight premiere where it got the attention of many. Following that event, three Lamborghini Centenario coupes landed...
by - June 26, 2017
The Holy Trinity of hypercars may not be accessible anymore after being discontinued, but that doesn’t mean we won’t see any more hypercars in the future. What we know is...
by - June 26, 2017
Kia is taking things a step further with the new Kia Stinger, which they first introduced at the 2017 Detroit Auto Show. With the specs given to us by the...
by - June 25, 2017
Earlier this week, Nissan revealed a teaser of the new 2018 LEAF’s interior, giving us an idea of what the electric vehicle has to offer. The company released a video...
by - June 25, 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