Shares of Ford Motor Co. (NYSE: F) were down by 1.3% in mid-day trade on Wednesday as reports emerged of its joint venture in China being hit with a fine by Chinese regulators for antitrust violations.
Changan Ford Automobile Co. was reportedly handed a fine of 162.8 million yuan ($23.6 million) by the State Administration for Market Regulation for restricting resale prices on its cars in Chongqing city. The fine amount comes to 4% of Changan Ford’s annual sales in Chongqing.
The Changan Ford joint venture was created between Ford and Chinese carmaker Changan Automobile with each partner owning 50-50 of the entity. After the US, China is the second largest market for Ford but the company has been seeing sales declines in the region.
The fine comes at a time when Ford is taking measures to drive sales growth in China and amid trade tensions between China and the US which has left several companies and investors in a state of concern.
After the US imposed a ban on Chinese telecom company Huawei Technologies, China threatened to retaliate with a blacklist on foreign firms. China is already said to be investigating FedEx Corp. (NYSE: FDX) for misrouting its parcels to the US.
Most Popular
V Earnings: Key quarterly highlights from Visa’s Q1 2023 financial results
Visa Inc. (NYSE: V) reported first quarter 2023 earnings results today. Net revenues grew 12% year-over-year to $7.9 billion. GAAP net income rose 6% to $4.2 billion while EPS grew
Earnings: Highlights of Intel’s (INTC) Q4 2022 financial results
Intel Corporation (NASDAQ: INTC) Thursday reported a decline in adjusted earnings and revenues for the fourth quarter. The semiconductor giant also provided guidance for the first quarter of 2023. Fourth-quarter
McCormick (MKC) expects to drive sales growth in 2023 through pricing actions and cost savings
Shares of McCormick & Company Inc. (NYSE: MKC) were down over 5% on Thursday after the company missed expectations on its fourth quarter 2022 results and provided a lower-than-expected earnings
