HONG KONG - ‍China's market regulator said on Friday ​it approved Detroit-based American Axle & Manufacturing's purchase of GKN ⁠Automotive owner Dowlais Group, stating that it had "fully ⁠considered" the possible impact ‌of the transaction on competition in China. 

The statement from China's State ⁠Administration of Market Regulation (SAMR) comes around a year after American Axle said it would buy Dowlais, valuing the London-listed firm at ⁠about 1.16 billion pounds ($1.55 ​billion).

The combined group aims to benefit from greater scale as ‍the auto industry grapples with volatile demand for electric vehicles, ​economic uncertainties and the global expansion of Chinese EV makers.

SAMR said that with additional restrictive conditions, American Axle and Dowlais have made four commitments, including "fair, reasonable and non-discriminatory supply and development opportunities, continued performance, price stability and not refusing reasonable renewal requirements".

This would "protect the interests of ⁠downstream customers and consumers and create ‌a level playing field for the health and orderly development of our country's ‌automobile industry," SAMR ⁠said. ($1 = 0.7468 pounds)

(Reporting by Farah Master and the ⁠Beijing newsroom; Editing by Muralikumar Anantharaman)