Chinese government fines Chrysler $5 million

[TerryMason]

China does not allow foreign manufacturers to own local factories, but levies punishing import taxes on foreign-built cars. The country does not face such barriers when exporting to the United States, instead enjoying Most Favored Nation status with Congress' repeat approval.


Chrysler was accused of setting minimum prices for vehicles sold in Shanghai. Three dealerships were also fined a total of $343,000 for price-fixing on service work.


China, which is officially communist, claimed that this was a violation of free market principles, according to the Associated Press. A spokesman for the country said that enforcement is even-handed, but companies said that they were not allowed to see evidence or bring lawyers to meetings.


Audi was also fined, for $40.5 million; eight Audi distributors were fined a total of $5 million. Mercedes was found to have violated the law but was not penalized. Mercedes and Audi cut parts prices and Chrysler cut imported-car prices.

The full story is in the Detroit News - China fines Chrysler, Audi on monopoly charges | The Detroit News

 

[lefthand90]

Gee that country surely have their own rules and policy mostly favor to them and other country will only find themselves violating it.

 

[Jeeprancher]

We have morons in the US in positions that negotiate trade and so forth . Therfor the US gets the schitty end of the stick no matter what country we're dealing with . Lousy negotiating skills . Idiots . Yes morons . Just ask The Don . He'll tell ya the same thing .
Untill we learn to grow some negotiators that are capable of growing a set , the dirty end of the stick will be ours to behold .