Xinhua quoted China Ministry of Commerce issued a statement late saying it would approve US automaker General Motors Co plan to buy part of parts supplier Delphi Corp, but set conditions on the deal to avoid restricting competition.

According to the statement, the approval came after an anti-monopoly probe by the MOC into the deal last week and negotiations with the two companies over the deal conditions, aimed to avoid exclusion or restriction of competition.

The conditions include a ban on GM and Delphi exchanging trade secrets on Delphi's other Chinese customers, to prevent GM from getting confidential and competitive information. Delphi should also maintain the timeliness and quality of supplies indiscriminately to the other domestic automakers, at market prices.

The ministry said it had discussed with the two companies its concerns on competition, and GM and Delphi had come up with solutions.

(Sourced from Xinhua)