· Anti-monopoly investigation of car companies in China: double standards are used to foreign companies

On the 6th, the National Development and Reform Commission announced the anti-monopoly investigation of car companies in China. Chrysler and Audi have monopolistic behaviors, and investigations into Mercedes-Benz are also underway. At the same time, the National Development and Reform Commission said that it has completed the investigation of the monopoly case of 12 Japanese companies.
On the same day, the State Administration for Industry and Commerce organized industrial and commercial law enforcement officers from four provinces, including Beijing, Liaoning, Fujian, and Hubei, to conduct surprise inspections of Microsoft and its financially outsourced Accenture.
Since 2013, South Korea's Samsung, LG, Qualcomm and other companies have accepted antitrust investigations. Some multinational groups have monopolized prices, markets, etc. by virtue of their position in the global market. Today, this behavior of ignoring market order is not mixed in China.

Antitrust investigation

In the early days of opening up to the outside world, the “double standards” arrogance provided a large number of land and tax preferential policies in order to attract foreign investment, and the law of supervision was not perfect, which raised the problem of “double standards” of multinational corporations. As Bai Ming, deputy director of the International Market Research Department of the Ministry of Commerce, said: “This time the Chinese government’s monopoly investigation of Microsoft’s business in China seems to be an isolated case, but the background is that some multinational companies have developed a dish of people. Wrong."
For example, in the automotive field, Beijing Benz "C-class W204" model, the zero ratio factor is as high as 1273%, which means that the replacement of all the accessories in China can cost 12 new cars; the BMW Brilliance "3 Series E90LCI" model has a coefficient of up to 661%; Lexus, Volkswagen, Audi and other models of the surveyed "zero ratio" also exceeded 400%.
Another example is Microsoft. As early as June 2013, the State Administration for Industry and Commerce received a report from the company that Microsoft has not fully disclosed the compatibility of its Windows operating system and office software, tying, and file verification.
Another example is Qualcomm. In February 2014, the National Development and Reform Commission confirmed for the first time that a price monopoly investigation was being conducted against Qualcomm. The industry also reported the fact that the National Development and Reform Commission confirmed that Qualcomm is suspected of abusing the monopoly of wireless communications in China.
Anti-monopoly is the market. "The anti-monopoly in Europe and the United States is more in strength and quantity than in China." Bai Ming said that anti-monopoly is an inevitable requirement of the market economy. China implemented the "Anti-Monopoly Law" in 2008 and used the law to conduct market entities. Norms, those companies suspected of monopoly in Europe and the United States are in line with relevant departments to investigate, in China, but not adapted, they need to be regulated to return them to the same standard as in the investment home country.
In fact, anti-monopoly investigations have continued in the mature automobile market in Europe, America and Japan. In September last year, the US Department of Justice announced the results of an antitrust investigation conducted by US auto companies. Nine Japanese companies and two executives acknowledged price manipulation allegations and agreed to pay a fine of more than $740 million. The largest survey ever conducted by the US antitrust division has involved Hitachi Systems, Mitsubishi Electric, Sanye Electric, and Jie Tai Ge Te. In February of this year, the US Department of Justice announced that Japan's Bridgestone Company had agreed to plead guilty and would pay a $425 million criminal fine to take responsibility for conspiring to manipulate the price of certain auto parts.
As for Microsoft, it is a frequent visitor to the EU's anti-monopoly penalties. As early as 2000, the European Commission investigated Microsoft's binding of Media Player to its operating system. In March last year, the European Commission announced that it was fined 561 million euros for Microsoft’s breach of its commitment to offer European browsers a choice of web browsers.
Preventing the rebound of monopoly enterprises For the anti-monopoly investigation in the car industry, various companies have responded with price cuts. Jaguar Land Rover China announced that the manufacturer's guidance price for its three models will be lowered by an average of 200,000 yuan. FAW Volkswagen Audi will actively reduce the price of original spare parts for domestic models. Mercedes-Benz has adjusted the price of its repair parts and announced that it will reduce its models from September. The price of some repair parts has an average price reduction of 15%.
On August 5th, Chrysler China Automobile Sales Co., Ltd. said that the price of 145 high-value and high-warranty parts including headlights, exterior mirrors and starters will be lowered by 20%.
However, these price cuts cannot end the fate of monopoly car companies being punished. According to the anti-monopoly law, if the operators violate the law and abuse the dominant position of the market, the anti-monopoly law enforcement agencies will order them to stop the illegal acts, confiscate the illegal income, and administer the annual A fine of more than one percent to less than ten percent of sales.
"Whether the punishment is targeted and whether the penalty amount is powerfully related to the effect of monopoly punishment, and found that one should immediately dispose of one." When talking about preventing the rebound of monopoly enterprises, Bai Ming said that monopoly enterprises feel the pain of punishment and the illegal cost is high. Then, a constraint will be formed.

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