European Commission issues fines of EUR 546 million for cartels in the car industry
Participants in four separate cartels have been fined for coordinating prices, exchanging sensitive information and allocating customers. The decisions show that the European Commission stays tough on competitors that seek to restrict competition between them.
European Commission decisions of 21 February 2018 maritime car carriers/spark plugs/braking systems
By attorney Line Berg Madsen
The cases in brief
The investigations were initiated following an admission by some of the cartel participants that they had engaged in anti-competitive activities. They informed the Commission of the activities in order to obtain immunity from fines (so-called leniency). The Commission then initiated its investigations of the participating undertakings, assisted by the competition authorities in e.g. the USA, Japan, Australia and Canada. The investigations showed that the cartel participants had colluded to restrict competition by coordinating their prices, exchanging confidential price information and allocating customers. The Commission found that the activities amounted to a cartel contrary to Article 101 TFEU.
The cartels
The first cartel involved the Chilean maritime carrier CSAV, the Japanese carriers “K” Line, MOL and NYK and the Norwegian/Swedish carrier WWL-EUKOR and concerned the market for maritime transport of vehicles.
The second cartel involved Bosch (Germany) and Denso and NGK (Japan) and concerned the market for the supply of spark plugs to car manufacturers.
The last two cartels involved TRW (USA) and Bosch and Continental (Germany) and concerned the market for the supply of braking systems for car manufacturers.
All cartel participants admitted the illegal activities and were fined a total of EUR 546 million.
Calculation of the fines
In setting the level of the fines, the Commission took into account the gain derived by the participants from the illegal practices, the geographic scope and timing of the cartels, and the serious nature of the infringements. However, it was also taken into account that the participants acknowledged their participation in the cartels and cooperated with the Commission in its investigations.
Commission has continued focus on the car industry
The decisions are part of the Commission’s investigations of the market for the supply of parts to car manufacturers. They illustrate the Commission’s continued focus on illegal practices and cartels in the car industry. The investigations have already resulted in significant fines to suppliers of car seats, lights and air conditioning and heat systems.
Read the European Commission's press release.
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