Brussels, 08/04/2010 (Agence Europe) - On Wednesday 7 April, the European Commission authorised plans to create a joint-venture between the German companies Bosch, Deutz and
Eberspächer in the field of diesel exhaust after-treatment systems for mobile non-road machinery and special utility vehicles.
Bosch is a world-leading supplier in the automotive industry, particularly in the diesel engines systems sector. Deutz manufactures motors and has a presence internationally. Eberspächer's exhaust technology division supplies spare parts for exhaust systems and complete exhaust systems for cars and utility vehicles.
The joint company, which will be jointly controlled by the parties, will develop, produce and sell complete diesel exhaust after-treatment systems for use in mobile non-road machinery (such as excavators, wheel loaders and tractors) and for special utility vehicles manufactured in small series (such as road sweepers, mobile cranes and waste collection vehicles). The exhaust systems to be produced by the joint-venture will be based on the "toolbox" principle, a set number of modular parts which can be put together to create a specific engine. The joint-venture will also separately supply active regeneration systems for diesel particulate filters, which are part of these exhaust systems.
The activities of the parties overlap only in one market in the fields of the production and supply of active regeneration systems for diesel particulate filters, which would include both burner-based active regeneration systems (similar to the one to be used by the joint-venture) and HC dosers, currently supplied by Bosch. The Commission's investigations show that this overlap would not raise any particular problems, largely due to the presence of other powerful competitors on this market.
The Commission also carefully examined whether the merger would cause any input or customer foreclosure problems. It concluded that Bosch would have neither the opportunity nor the motivation to get involved in input foreclosure strategies with regard to exhaust system parts which competitors of the joint-venture may need to buy. The conclusion was the same in the sector
of urea dosers (AdBlue), which help to reduce nitrogen dioxide (NOx) emissions. Although
Bosch is particularly well established in the urea doser sector, there are enough alternative
suppliers. (L.C./transl.fl)