Europe business chamber says China won't force foreign suppliers to form JVs
Recent media reports that Beijing will force foreign automotive suppliers to form joint ventures with Chinese companies are unfounded, the European Union Chamber of Commerce in China said.
Last week, Stuttgarter Zeitung reported that CEO Stefan Wolf of German supplier ElringKlinger said the Chinese government had informed three German suppliers that they could no longer run their Chinese units independently.
According to the German newspaper, those companies would have to form partnerships with Chinese manufacturers.
The European Chamber said it has spoken to Chinese authorities, ElringKlinger and the Chinese automotive manufacturers association, plus a number of its members.
"The European Chamber is confident that these rumors are unfounded and that the Chinese government has no intention to require the formation of joint ventures in the sector," the organization said in an Aug. 28 statement.
"The European Chamber has been reassured by Chinese authorities that such a move would be contrary to government intentions to further liberalize the auto parts sector," it added.
According to the German newspaper, those companies would have to form partnerships with Chinese manufacturers.
The European Chamber said it has spoken to Chinese authorities, ElringKlinger and the Chinese automotive manufacturers association, plus a number of its members.
"The European Chamber is confident that these rumors are unfounded and that the Chinese government has no intention to require the formation of joint ventures in the sector," the organization said in an Aug. 28 statement.
"The European Chamber has been reassured by Chinese authorities that such a move would be contrary to government intentions to further liberalize the auto parts sector," it added.
