Italy fined 6 million for selling Chinese cars as if they were Italian

Italy’s competition authority has fined a local car company 6 million euros after finding it illegally labeled cars from Chinese manufacturers, including car group Chery, as Italian. DR Automobiles has been promoting vehicles from Chery, BAIC Motor Corp and Anhui Jianghua Automobile Group or JAC Motors as Italian since at least December 2021, the agency said on its website. The Chinese-made cars were sold under the DR and EVO brands after “finishing touches” in Italy, he added.

The move extends a crackdown in recent months by Georgian Prime Minister Meloni’s government against foreign-made cars that give the impression they were made in Italy. In May, financial police seized dozens of Fiat Topolinos made in Morocco because they were flying the Italian flag. Parent company Stellantis was also forced to change the name of the new Alfa Romeo Junior after the Georgia Meloni government disagreed with the group’s plan to name the Polish-made SUV Milano.

DR, based in Macchia d’Isernia, north of Naples, said it would appeal the decision. Its cars are 60-70% pre-assembled in China, a company spokesman told Bloomberg this Thursday, adding that the company is making important changes at its plant to comply with European regulations such as fuel systems and collision regulations.

Partial production of cars in Asia is a common practice in the auto sector and has “never been hidden from the public”, according to DR. Its advertising “was never intended to promote the proposed complete production of cars in Italy.” Prime Minister Meloni’s government has also clashed with Fiat owner Stellantis over plans to move production to lower-cost countries.