EU official threatens automotive suppliers with new monopoly fines image

It’s been keeping the headlines lately in China, but auto companies and the suppliers should remember the shenanigans don’t work in other parts of the world as well.

The US has fined and indicted many Japanese auto suppliers and their executives. In India carmakers received a record fine and the foreign companies in China now fear the next round of anti-trust probes coming their way. Europe is not a safe heaven though – EU’s antitrust chief, Joaquin Almunia now mulls new fines for the companies engaged in monopoly practices.

Europe’s Competition Commissioner, has already served two auto parts cartels fines worth over 1 billion euros: back in March, the German group Schaeffler, Sweden’s SKF and Japanese companies NTN, NSK and NFC were found guilty of breaking the law and would have to pay 953.3 million euros ($1.23 billion) because of their implication in a ball bearings cartel. In July 2013 another fine – worth 142 million euros – was served to Yazaki, the world’s No. 1 maker of car wires that are used for powering the various electronic systems.

“We have already taken two decisions against car parts producers – the wire harnesses case in July 2013 and the bearings case last March – and there are more in the pipeline,” Almunia said.

The official, scheduled to hand over his duties next month, said that his successor, former Danish economy minister Margrethe Vestager, would be handed a long list of pending investigations in the sector.

Via Automotive News Europe