Chinese Regulators Fine Medtronic $17 Million

Medical device maker Medtronic Inc. has been fined $17.2 million by Chinese regulators for alleged price fixing in regard to its diabetes and cardiovascular devices. The company’s diabetes division is located in Northridge, where it coordinates the manufacturing and marketing of its insulin pumps and related technologies. Chinese regulators determined that the Dublin-based company allegedly deterred competition by imposing minimum prices its local distributors were required to charge. Other companies such as foreign automakers and milk suppliers have also been hit with similar penalties. Setting minimum prices is common practice in the United States and other markets, however lawyers said China sees this tactic as a barrier to competition, according to the Associated Press. The country’s first anti-monopoly law was imposed in 2008. Since its enactment, business groups have argued that it has been mostly enforced against foreign companies as opposed to Chinese businesses, according to the Associated Press.