Category: Newswire

FTC investigates BMW Japan for alleged pressure on car dealers

Fair Trade Commission investigators searched the Tokyo offices of BMW Japan on Sept. 11 over suspicions it set impossible sales targets for dealers and unfairly punished them when they failed to reach the goals.When dealers failed to achieve the targets, BMW Japan allegedly forced them to buy any unsold vehicles themselves.BMW Japan’s sales amounted to 285 billion yen ($2.6 billion) in 2018.

BMW Japan raided over improper sales quotas

The Fair Trade Commission raided BMW Japan Corp. on Wednesday for allegedly imposing unreasonable sales quotas on its distributors and making them buy vehicles when they missed the targets.The alleged unfair practice was apparently induced by fierce competition from Mercedes-Benz and other rivals in the imported vehicle market.Distributors registered BMW vehicles they purchased under their names and sold them in the used car market afterward.

Škoda to produce batteries for Volkswagen Group

Czech automaker Škoda is to start producing high-voltage traction batteries for Volkswagen plug-in hybrids at its main production facility in Mladá Boleslav.The battery packs will be used in the Škoda Superb iV, the automaker’s first hybrid vehicle, amongst other models.Production of the Superb iV is set to begin later this month at Škoda’s Kvasiny plant.