The Chinese joint ventures of Japanese carmakers Toyota Motor Corp. and Honda Motor Co. are also cutting the prices of spare parts while authorities are looking into monopolistic practices in the auto industry. According to statement on its Web site, GAC Toyota Motor Co. -- a venture between Toyota and GAC Group -- will trim prices on some parts starting Aug. 18.
Guangqi Honda Automobile Co. – a venture between Honda and GAC -- will cut prices of some parts from Sept. 1. China is stepping up its efforts to determine how much foreign carmakers charge for vehicles and spare parts.
China commenced it probe into possible antitrust violations in the auto industry at the end of 2011, with state media accusing carmakers of inflating prices and overcharging consumers. BMW, Daimler and Audi have announced similar moves.
BMW will trim prices on over 2,000 components by an average of 20 percent starting Aug. 11 while Daimler will cut spare-part prices for its Mercedes-Benz units by an average of 15 percent starting September.
Audi's joint venture in the country announced in late July that it would cut replacement costs of its parts by up to 38 percent on Aug. 1. Antitrust officials in Jiangsu have commenced probes of Mercedes-Benz dealers in five cities including Suzhou and Wuxi.
Local officials of the National Development and Reform Commission recently raided the Shanghai office of Mercedes-Benz. NDRC spokesman Li Pumin disclosed that the government will soon punish Chrysler Group and Audi for engaging in monopolistic actions.
He remarked that the NDRC has already completed a probe into 12 Japanese firms and will soon disclose the actions it will take. [source: automotive news - sub. required]