Mercedes-Benz confirms antitrust investigation

A Mercedes Benz hood ornament is pictured at the Jacob Javits Convention Center during the New York International Auto Show in New York April 17, 2014. [Photo / chinadaily.com.cn]

Mercedes-Benz confirmed on Tuesday that it has been investigated by anti-monopoly officials in China and said it would cooperate with the government.

Beijing Mercedes-Benz Sales Service Co Ltd told China Daily that the company is involved in an ongoing antitrust investigation by the National Development and Reform Commission.

"We're actively assisting the investigation," the company said, without disclosing details.

On Monday, a special investigation team suddenly visited the German luxury brand's East China headquarters in Shanghai, initiating the anti-monopoly probe for a whole day, Chinese media reported on Tuesday morning.

Mercedes-Benz has been the first company in the automotive industry in China that has been confirmed to be undergoing NDRC's antitrust probe, though many rivals have announced price reduction answering the probe appeal.

Insiders said the investigation on Benz may target the company's pricing strategy on both new models and after-service models.

The move has been taken just one day after the company announced its second nationwide price cut for spare parts, following the after-service price reduction recently.