Four BMW auto dealers have been fined $260,000 or 1.6 million yuan for their anti-trust activities in monopolizing the prices of auto cars in China. Auto car price regulators in the Hubei Province handed out the combined fine against the four BMW dealers when they found out the auto players had been manipulating car prices and even formed a coalition to strengthen the monopoly.
Chinese auto price regulators have stepped up enforcement of anti-monopoly laws when the anti-trust activity of the fraudulent car dealers was discovered. Much more than inflating the prices of auto cars to double what obtains in US and European markets, the regulators also found that the monopolistic alliance had also extended their price hikes to auto spare parts.
Chrysler, Audi, and other BMW dealers were found to be engaged in this unholy practice, and while the regulators have also visited the office of Mercedes Benz in Shanghai to determine their level of complicity, the National Development Reform Commission (NDRC) of China has stated that all those found culpable in this fraud would be fined and further punished according to relevant laws.
As the regulatory activities of NDRC and those auto dealers caught in the act became public knowledge, hundreds of auto car dealers in China have started slashing their market prices to avoid being caught in the ongoing car price regulations. Although this development has caught many consumers by surprise, they are glad that the government is stepping in to check the underhand activities of these car dealers.