On Monday night, Gree made a second announcement, saying it has prepared enough evidence for regulator to verify and will release the information depending on the situation.

Moreover, Gree announced eight inspection reports by Sichuan Institute of Electron Production Supervision & Inspection, and the report showed the samples were substandard. The eight samples were of Aux products made in Ningbo city, Zhejiang province.

However, the eight reports did not display the sampling location, sender and date, that the regulator would need to further confirm the reports.

Aux published its chairman Zheng Jianjiang's statement saying that it welcomed the supervision, and will co-build national brand reputation on quality.

Previously, China's three air-conditioner manufacturers — Gree, Midea and Aux — were involved in cases against each other, said the report.

Last year, Aux was ordered to pay 46 million yuan to Gree for violating intellectual property rights, according to Economic View's report on Tuesday.

The business portal also citing reports said Aux took improper ways to poach more than 300 members of Gree's R&D and quality inspection departments from 2010 to June, 2017.

Gree's chairwoman Dong Mingzhu was a vocal critic of Aux alleged stealing of Gree's technologies and cheating, said the Economic View.

In recent years, Aux's low price strategy threats Gree's leading role in air conditioner industry, according to the Economic View, citing industry insiders.