EU Fines Carmakers $495.3 Million Over Vehicle-Recycling Cartel -- Update

Dow Jones
04-02
 

By Edith Hancock

 

The European Commission fined more than a dozen carmakers and the trade group ACEA 458 million euros ($495.3 million) in an antitrust probe over their role in a vehicle-recycling cartel.

The commission said Tuesday that 16 major car manufacturers and the ACEA entered into what it called anticompetitive agreements, which involved end-of-life vehicle recycling, for almost 15 years. It said these included agreeing not to pay car dismantlers for processing and not to promote how much of an old vehicle can be recycled, recovered and reused.

It said the groups were trying to prevent consumers from factoring in recycling information when choosing a car, which it said could ease pressure on companies to go beyond legal recycling requirements.

Mercedes-Benz avoided a roughly 35 million-euro fine by revealing the cartel to the commission, the watchdog said.

Mitsubishi, Ford, Stellantis and its subsidiary Opel also had their fines lowered for cooperating with the investigation, the regulator said.

Mercedes-Benz, Mitsubishi, Ford and Stellantis didn't immediately reply to requests for comment.

Meanwhile, the U.K.'s Competition and Markets Authority fined ten carmakers and two trade bodies 77.68 million pounds ($99.5 million) as it settled a parallel probe into vehicle recycling.

ACEA said it cooperated fully with both EU and U.K. authorities and doesn't intend to appeal the decisions. "While acknowledging the infringement, which should not have occurred, we note that it neither produced consumer harm nor reduced innovation," it said.

 

Write to Edith Hancock at edith.hancock@wsj.com

 

(END) Dow Jones Newswires

 

By Edith Hancock

 

The European Commission fined more than a dozen automakers and the trade group ACEA 458 million euros ($495.3 million) in an antitrust probe over their role in a end-of-life vehicle-recycling cartel.

The commission said Tuesday that 16 major car manufacturers and the ACEA entered into what the commission called anticompetitive agreements, which involved end-of-life vehicle recycling, for almost 15 years. It said these included agreements not to pay car dismantlers for processing and not to promote how much of an old vehicle can be recycled, recovered and reused.

The European Commission said the groups were trying to prevent consumers from factoring in recycling information when choosing a car, which it said could ease pressure on companies to go beyond legal recycling requirements.

The case relates to end-of-life recycling, when obsolete cars are taken apart and processed for recycling. The commission said the companies colluded together, with ACEA organising meetings among the car makers involved, from 2002 to 2017.

Under EU law, companies are meant to bear the cost of disposing of vehicles at the end of their life, letting consumers dispose of them free with a dismantler. Consumers are also meant to be informed about the recycling performance of new cars.

Volkswagen got the highest fine at 127.7 million euros, followed by Renault-Nissan at 81.46 million euros.

Stellantis, and its Opel subsidiary; General Motors; Ford; BMW; Toyota; Hyundai-Kia; Volvo; Honda; and Tata Motors-unit Jaguar Land Rover were among the car makers also fined for their role in the cartel.

Mercedes-Benz avoided a roughly 35 million-euro fine by revealing the cartel to the commission, the watchdog said.

Mitsubishi, Ford, Stellantis and Opel also had their fines lowered for cooperating with the investigation, the regulator said.

Hyndai-Kia, Volvo, Honda, BMW, Jaguar Land Rover, Toyota, GM, Mercedes-Benz, Ford and Stellantis didn't immediately reply to requests for comment.

Meanwhile, the U.K.'s Competition and Markets Authority fined ten car makers and two trade bodies 77.68 million pounds ($99.5 million) as it settled a parallel probe into vehicle recycling.

A Renault spokesperson said that the practices date back to a time when the vehicle recycling sector was still developing and that the practices do not financially harm consumers.

ACEA said it cooperated fully with both EU and U.K. authorities and doesn't intend to appeal the decisions. "While acknowledging the infringement, which should not have occurred, we note that it neither produced consumer harm nor reduced innovation," it said.

 

Write to Edith Hancock at edith.hancock@wsj.com

 

(END) Dow Jones Newswires

April 01, 2025 14:34 ET (18:34 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.

免责声明:投资有风险,本文并非投资建议,以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请,作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考,不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证,投资者应自行研究并在投资前寻求专业建议。

热议股票

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10