South Korea's Fair Trade Commission said Thursday it had slapped fines totaling 3.5 billion won (about $3.1 million) on five auto parts suppliers, including Japan's Denso Corp. and NGK Spark Plug Co., for forming a price-fixing cartel.
The two Japanese firms, their local units and a South Korean affiliated company fixed the prices of parts supplied to local automaker Hyundai Motor Co. and Kia Motors Corp., which is under Hyundai's umbrella, the commission said.
According to the commission's statement, Denso and NGK Spark Plug, in bidding for exhaust gas temperature sensors in 2008, colluded in setting their bid prices on various models so that each firm could win orders.
The industry watchdog fined NGK Spark Plug 916 million won and Denso 523 million won. Under leniency rules, Denso avoided further penalties by voluntarily reporting its own violations in advance.
Both firms pledged to comply with regulations and make efforts to prevent a repeat.