Why is MITI involved in Car pricing?

I heard on the grapevine that VW actually submitted RM228k as the selling price for the Scirocco, and MITI rejected the price, after various appeals etc, MITI approved the price of 243k

My question is.....why the hell is MITI involved? how can they not approve a lower selling price that the manufacturer themselves submitted?

I have always found the pricing of the scirocco strange, now i know why....cos if VW had gotten thier target price at 228k, it would sell like hot cakes, now at 243k...its actually more expensive then the much higher spec Passat CC

Check out these photos of of VW's stunnign new Jetta VI coupe concept. It looks brilliant..very "audi"