China has begun investigating imports of some U.S. vehicles for possible dumping or subsidies that unfairly benefit U.S. auto makers, the latest indication of rising trade friction between the two countries.
The investigation affects sedans and sport-utility vehicles with engine capacities of 2.0 liters and above, China's Ministry of Commerce said on its Web site Friday. The probe is unlikely to have much of an effect on U.S. auto imports as only a small percentage of vehicles sold in China are imported, with most global auto makers having manufacturing facilities inside the country.
The ministry statement comes one day after the Obama administration imposed preliminary duties on imports from China of steel pipes used in the oil industry, which China's Ministry of Commerce criticized earlier Friday as "abusive protectionism."
Tensions between the U.S. and China have been on the rise since the U.S. hit Chinese tire exporters with punitive tariffs in September. The latest spat on autos and steel pipes come little more than a week ahead of a visit to China by President Obama.
Less than 200,000 of the passenger vehicles sold in China in the January-August period were imported, said CSM Worldwide analyst Yale Zhang. Of those, about 27,000 were from the U.S.
In the same period, 6.22 million passenger vehicles were sold in the country, according to data from the China Association of Automobile Manufacturers.
While General Motors Co. and Ford Motor Co. make the majority of vehicles they sell in China locally, the investigation could hurt Chrysler Group LLC's operations here, Zhang said.
Chrysler relies on imports to sell its Jeep SUVs, 300C and Sebring sedans, and others.
The company couldn't immediately be reached for comment.
Chrysler has a significantly smaller presence in China than its U.S. counterparts. While Chrysler sold about 4,000 units in China in the January-September period, according to market research firm JD Power, General Motors sold 1.29 million units. Ford sold about 228,000 passenger vehicles over the same period.
The Ministry of Commerce statement didn't say what measures China might take after the investigation.
