Multiple Departments Issue New Regulations on Automotive Pricing Compliance

[Policy Regulation] The State Administration for Market Regulation has released the 'Compliance Guidelines for Pricing Practices in the Automotive Industry,' strictly prohibiting disguised price cuts and pricing fraud.

Key Developments: Great Wall Motor and Xiaomi Auto First to Express Support for the New Rules

On February 12, the State Administration for Market Regulation issued the 'Compliance Guidelines for Pricing Practices in the Automotive Industry,' clearly requiring automakers to set prices based on production costs and guided by market supply and demand. The guidelines also standardize rebate policies and dealer pricing authority. At the sales level, clear price labeling is mandatory, including detailed information on vehicle models, configurations, and optional components.

Strategic Rationale: Curbing Chaotic Price Wars and Promoting High-Quality Development

Great Wall Motor emphasized its commitment to long-termism and opposition to unprincipled price wars; Xiaomi Auto pledged to optimize its pricing management system and encourage compliance across the entire supply chain. Both companies stated they will implement the requirements of the Guidelines to uphold fair competition and support the healthy advancement of the industry.