China starts probe into Tetra Pak 'dominance' - media

Uni-President China Holdings

05/07/2013 07:44

SHANGHAI, July 5 (Reuters) - China is investigating Swedish packaging giant Tetra Pak over the possible "misuse of its market dominance", state media reported on Friday, as authorities ramp up scrutiny of foreign firms in the world's second biggest economy. The State Administration for Industry and Commerce (SAIC) has launched the nationwide investigation, ChinaNews.com reported on its website citing unidentified sources. SAIC and Tetra Pak officials in China could not be reached for comment.     The National Development and Reform Commission (NDRC), the top economic planning agency, is already investigating six milk-powder producers including Nestle  NESN.VX  and Danone DANO.PA , for possible price-fixing and anti-competitive behavior. Both Nestle and Danone have responded by saying they would cut prices.  ID:nL3N0F92DI  The NDRC is also investigating costs and prices charged by drugmakers, including units of GlaxoSmithKline  GSK.L  and Merck MRK.N .  ID:nL3N0FA1XH      Tetra Pack entered China in 1972 and its clients include China's biggest milk and beverage producers including China Mengniu Dairy Co Ltd  2319.HK , Inner Mongolia Yili Industrial Co  600887.SS  and Uni-president China Holdings Ltd  0220.HK . (Reporting by Samuel Shen and Kazunori Takada; Editing by Stephen Coates) ((samuel.shen@thomsonreuters.com)(+86 21 6104 1789)(Reuters Messaging: samuel.shen.thomsonreuters.com@reuters.net)) Keywords: CHINA TETRAPAK/