16/03/17

Commission imposes fines totaling EUR 68 million on three car battery recycling companies for their participation in a purcha…

The European Commission has imposed EUR 68 million fines on Campine, Eco-Bat Technologies and Recylex for fixing prices for the purchase of scrap automotive batteries, which constitutes an infringement of EU antitrust rules. The fourth participant of the cartel, Johnson Controls, was exempted from the payment of the fine because it disclosed the existence of the cartel to the Commission.

The investigation of the Commission showed that, from 2009 to 2012, the four companies participated in a cartel to fix the purchase prices of scrap lead-acid automotive batteries in Belgium, France, Germany and the Netherlands.

Whereas the majority of the cartels involve price fixing of sales prices, the present case concerned collusion to reduce the purchase price paid to scrap dealers and collectors for used car batteries. By coordinating to lower the prices they paid for scrap batteries, the normal functioning of the market was distorted and competition on price was prevented. The practices were aimed at lowering the value of used batteries sold for scrap, which harmed used battery sellers. The companies that borne most of the consequences of the cartel were mainly small and medium-sized battery collectors and scrap dealers.

Most of the contacts between the cartelists took place bilaterally and mainly through phone calls, e-mails, or text messages. The Commission has found that the parties were aware of the illicit nature of their conduct since, for example, they sometimes used coded language to signal price levels.

dotted_texture