Chinese authorities raid DaimlerChrysler offices in Shanghai

Chinese antimonopoly officials have raided the offices of DaimlerChrysler just one day after it announced it would lower the cost of spare parts for Mercedes-Benz vehicles by an average of 15 percent.

The New York Times reports that the investigators were part of the National Development and Reform Commission. The search occurred at Daimler's operations in Shanghai.

Daimler is only the latest multinational firm to come under investigation by the Chinese authorities. Last week, four different Microsoft facilities throughout China were raided. The authorities warned Microsoft not to interfere with their investigation, and questioned Microsoft's highest-ranking lawyer in the country. A different agency, the State Administration for Industry and Commerce is overseeing that investigation.

GlaxoSmithKline has been the focus of a lurid investigation into its business practices, complete with private investigators and mysteriously obtained sex tapes. The focus of those allegations is that GSK bribed doctors to prescribe their drugs over the competition.

A 2008 law that gives the authorities the right to determine why some goods and services are cheaper in the rest of the world than China is the basis for the raids and investigations.

Bloomberg reports that the price cut for Mercedes-Benz vehicle parts will affect 10,000 different products. The price of windshields will drop nearly 30 percent.

Daimler is the second car company to take such measures, joining Audi in a similar maneuver. The actions are most likely intended to cool some of the heat coming from the economic authorities in Beijing.

Bloomberg notes that at the end of July, Chinese media reported that some car companies had been contacted by the authorities. Shortly thereafter, a few quickly adjusted their prices. It appears as though Daimler has followed this playbook, but perhaps not soon enough.

The Daimler price cuts will go into affect at the beginning of September.