The European Commission decided on Tuesday 29 September to impose fines totalling 18 million euros on Brose (€3.2 million) and Kiekert (€14.9 million) for participating in two cartels concerning the supply of car locking systems in the European Economic Area (EEA). Magna was not fined as it disclosed the two cartels to the Commission.
Magna, based in Canada, and Brose, based in Germany, participated in a bilateral cartel to supply door modules and window regulators for a specific car model of Daimler group. Magna and Kiekert (based in Germany) participated in a separate bilateral cartel concerning deliveries of latches and strikers to the BMW group and the Daimler group. All three companies have acknowledged their involvement in the cartels and agreed to settle the case.
Margrethe Vestager, Executive Vice-President in charge of Competition Policy, said the three suppliers “colluded to increase their profits from the sale of these components. These cartels ultimately hurt European consumers and adversely impacted the competitiveness of the European automotive sector”.
The three car equipment suppliers addressed in this decision coordinated their pricing behaviour and exchanged commercially sensitive information. The objective of the three companies involved in both cartels was to preserve each party’s existing business and to avoid a deterioration of the prevailing pricing levels of the supplies. Coordination took place through meetings, phone calls and e-mails. (Original version in French by Lionel Changeur)