Automotive sector back in EU’s antitrust crosshairs -Breaking
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© Reuters. FILE PHOTO – EU flags fly in front of Brussels’ European Commission Headquarters, Belgium on October 2, 2019. REUTERS/Yves HermanBy Foo Yun Chee
BRUSSELS, (Reuters) –EU antitrust regulators raided several automobile companies and associations across several countries Tuesday on suspicion that they were violating bloc’s cartel rules.
Companies also received information requests from the European Commission. It did so without disclosing any company names.
The EU competition enforcer stated in a statement that “the inspections and requests to information concern possible collusion with respect to the collection treatment and recovery end-of life cars and vans that are considered waste.”
BMW of Germany said it received the request for information.
Mercedes Benz claimed it did not anticipate being fined as it is a leniency application and that it has been working extensively with the Commission and UK Competition and Markets Authority.
Volkswagen (DE) and Audi, its premium brand, declined to comment. Carmakers Ford, Stellantis, Renault (NYSE:) and Ferrari(PA:) didn’t immediately reply to inquiries for comment.
CMA also launched an investigation into unnamed manufacturers of vehicles and other industry bodies. CMA said it cooperated with the Commission.
Fines of up to 10% for companies found in violation of EU cartel regulations could be imposed on them.
In the last decade, fines have been issued by the Commission totaling 2.2 billion euro ($2.4 billion). They were for car parts cartels that dealt in everything from brakes to seat belts, wire harnesses, air bags and seat belts.
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