Abstract Beijing time on September 10th morning news, representing more than 100 European auto parts manufacturers and related business interests in the European Union Chamber of Commerce in China (TheEuropeanUnionChamberofCommerceinChin...
On the morning of September 10th, Beijing time, the European Union Chamber of Commerce in China, representing more than 100 European auto parts manufacturers and related companies, said on Tuesday that the Chamber of Commerce supported the Chinese authorities to crack down. The market monopoly requires automakers to loosen their control over China's auto parts sales and said the Chinese government should use antitrust laws to help consumers drive down prices for related products. The European Union Chamber of Commerce in China said that automakers control China's parts market and other post-market services, leading dealers and consumers to pay higher prices than elsewhere. In this position paper, the Chamber of Commerce stated that “the supply of spare parts is completely controlled by the automakers and is only assigned to their authorized dealers, resulting in excessively priced repair parts and also by compulsing inventory levels of vehicles and components. To make the dealers bear an extra burden."
According to the document, component manufacturers are often afraid to publicly express their dissatisfaction because they are worried about retaliation from automakers.
China's anti-monopoly regulators recently reviewed the sale of parts and components by foreign high-end automakers in China. Audi, BMW and the Daimler Group's Mercedes-Benz, which together control about 70% of the Chinese luxury car market, were asked to lower their parts prices. These companies all say that they are cooperating with the actions of investigators.
Audi's Mercedes-Benz did not immediately respond to the report; BMW declined to comment.
The report of the European Union Chamber of Commerce in China also did not mention the specific names of these dissatisfied parts suppliers. A number of European auto parts suppliers, including GKN, did not immediately respond to the report; Delphi Automotive and France's Faurecia declined to respond to the report.
Auto parts suppliers also raised similar dissatisfaction in a position paper in 2013, but the language used in the latest report is clearly harder, highlighting the fact that foreign automakers may be more and more in China. The pressure on the important market.
Some analysts pointed out that with the current anti-monopoly investigation, China may comprehensively rectify the way car manufacturers distribute and sell cars and auto parts.
Andreas Graef, head of Kearny Management Consulting's Shanghai office, said, “Now it is everyone who is actively circling and hopes that the regulatory rules in the formation will be more beneficial to them. Component manufacturers want to send a clear signal to the authorities that they actually want to gain fair access to the Chinese automotive aftermarket."
The report of the industry organization also gave the outside world a new understanding of the increasingly tough enforcement position of China's anti-monopoly law in the past.
The EU Chamber of Commerce in China, which has more than 1,800 member companies, also put forward some opinions on China's anti-monopoly law in this report, saying that the regulations lack clear standards and implementation methods.
The Xinhua News Agency reported that Chinese Premier Li Keqiang said on Tuesday that anti-monopoly investigations are not targeted at specific companies or industries. On the eve of attending the World Economic Forum Tianjin Annual Meeting, he told business leaders that only one in ten of the companies surveyed were foreign.
In addition, the Chinese government imposed a total of 114 million yuan ($18.6 million) in fines on three Chinese cement companies on Tuesday for conspiracy price monopolies.
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