Beijing accuses Mercedes-Benz of ‘price-fixing’
SHANGHAI: China has accused Mercedes-Benz, a unit of German car giant Daimler, of price-fixing, state media reported, amid an anti-monopoly investigation into foreign carmakers.
Pricing authorities in the eastern province of Jiangsu have collected evidence that Mercedes-Benz controlled prices of its spare parts and maintenance services, the official Xinhua news agency reported. The total cost of all spare parts for a Mercedes-Benz C-class could be 12 times more than a finished model, the report said, citing data from an industry group.
“The Benz case involves typical vertical price-fixing,” Zhou Gao, head of anti-monopoly department at the Jiangsu price bureau, told Xinhua.
The bureau was designated by China’s National Development and Reform Commission (NDRC) — one of several Chinese government bodies that investigates violations of the country’s “anti-monopoly” law — to probe Mercedes-Benz for alleged monopoly actions, said Zhou.
A Daimler spokesperson confirmed Monday that the company was still “assisting” Chinese authorities in an investigation but declined to comment on the Xinhua report.
“We are unable to comment further on what is still an on-going matter,” the company said in a statement provided to AFP.
Mercedes-Benz said in early August that it will cut spare parts prices from September in response to the anti-monopoly investigation by NDRC.
The case comes against the backdrop of a sweeping probe into foreign firms in China, which has spread from pharmaceuticals and baby formula to the auto sector, the world’s largest but dominated by foreign brands.
Egyptian pound remains stable
CAIRO: The Egyptian pound remained stable at a central bank dollar sale and on the black market yesterday.
The central bank said it sold $39.6m at a cut-off price of 7.1401 pounds per dollar.
The rate for the dollar sales has stayed in a very tight range since the beginning of June, after the bank allowed the pound to weaken in May. It had offered $40m on Thursday.
On the black market, the dollar changed hands for 7.39 pounds, one market participant said, almost unchanged from Thursday’s rate of 7.40 pounds.
The rates at which banks are allowed to trade dollars are determined by the results of the central bank sales, giving the bank effective control over official exchange rates.
Agencies
