China regulator targets auto chip distributors with price-gouging probe

SHANGHAI, Aug 3 (Reuters) - China's regulatory agency is launching an investigation into chip distributors in the auto industry, it said on Tuesday, citing suspicions of price gouging.

The action by the State Administration for Market Regulation (SAMR) is the latest in a regulatory crackdown over the past year that has targeted a range of companies and industries as the Chinese government clamps down on industry.

"In response to prominent problems such as speculation and high prices in the automotive chip market, the State Administration of Market Supervision has recently filed an investigation on car chip distributors," the agency said.

The firms were suspected of driving up prices, based on price monitoring and reporting clues, it added in its statement, and vowed to investigate and punish illegal acts such as hoarding, price-gouging and collusion

https://www.reuters.com/technology/china-regulator-investigate-auto-chip-distributors-suspicion-price-gouging-2021-08-03/