EU fines BMW, VW for collusion with Daimler over emissions technology Car News

The European Commission has fined the Volkswagen Group and BMW a total of 875 million euros (£ 750 million) for violating antitrust rules by agreeing with Daimler to limit the use of car cleaning technology. emissions.

The commission said the three companies had discussions ten years ago on the use of selective catalytic reduction (SCR) technology that injects AdBlue to reduce nitrogen oxides from exhaust gases. diesel cars.

According to the commission, the three companies agreed for more than five years between 2009 and 2014 to avoid competition over the introduction of technologies that would clean up emissions beyond EU legal requirements.

The talks included representatives from Daimler, parent of Volkswagen, Porsche, Audi, BMW and Mercedes-Benz. Under the deal, the VW Group will pay 502 million euros (£ 430 million), while BMW will pay 373 million euros (£ 320 million).

Daimler was not fined by the commission, having been granted immunity for revealing the existence of the cartel. The commission said if Daimler had not been in the shelter he would have been fined € 727million (£ 624million).

What the commission found

The commission’s investigation determined that the companies had come to an agreement on the size of AdBlue tanks and the average AdBlue consumption in their machines, which was achieved by sharing commercially sensitive information. This actually meant that the three companies knew they wouldn’t need to compete on technology in the future, reducing the need to develop systems in areas relevant to customers, while violating company regulations. ‘European Economic Area.

European Union antitrust chief Margrethe Vestager said: “This is the first time that the committee has found that cooperation on technical elements, as opposed to price fixing or market sharing, is tantamount to cartel behavior. All the companies acknowledged their participation in the cartel and agreed to settle the matter.

“Every year millions of new diesel cars worth several billion euros are sold in Europe. And many more are already in use. Not only the users of these cars, but all citizens should be able to trust that car manufacturers are competing to reduce harmful emissions from their vehicles. But these companies have failed to meet those expectations.

Manufacturers react

In a statement, BMW noted that the European Commission “has dropped most of its charges of antitrust violations” and said it has decided to reach a settlement to end the proceedings.

BMW also noted that the commission’s investigation was based solely on competition law and found no evidence that the companies were using “defeat devices” to manipulate emissions tests.

BMW added: “Unlike some of its competitors, the BMW Group has never considered reduced and illegal emissions control.”

In a statement to Reuters, Volkswagen said it was considering appealing its fine. He said: “The commission is entering new judicial territory, as it is for the first time treating technical cooperation as a violation of antitrust rules. ”