Mercedes will avoid paying their share of a billion-dollar fine. In return, the Germans have been gossiping about cartel formation among their competitors.
A number of car brands must pay a total fine of more than 3 billion kroner for cartel formation.
The European Commission writes this in a press release .
However, Mercedes is avoiding the issue when the car brand chose to inform the EU about the illegal collaboration. It concerns a car recycling cartel in which several well-known brands were involved.
The car manufacturers involved were Volvo Cars, Volkswagen, Toyota and BMW. The industry organization ACEA also participated in the collaboration.
According to information from the EU, the cartel has existed for over 15 years. The basis for the large fine is that the car manufacturers entered into agreements not to pay car scrappers for their work in handling end-of-life cars, among other things.
In addition, they agreed not to disclose how large a proportion of an end-of-life car could actually be recycled.
The EU Commission states that the purpose of the cartel agreements was to prevent customers from gaining insight into how cars are recycled.
This was to prevent customers from demanding that car manufacturers make greater recycling efforts than what the legislation in the area required.
The failure to pay car scrappers and the withholding of information about recycling are at the heart of the case that has now resulted in the large fine.
In connection with the investigation, Volvo Cars has issued a statement:
– Volvo Cars confirms that it has been part of the European Commission's investigation into the recycling of end-of-life vehicles in the EU.
– Volvo Cars has cooperated with the Commission throughout the investigation and can confirm that it has reached a settlement with the Commission and will not comment further on the matter.
The case illustrates the consequences of cartel formation within the EU, where violations can result in large economic sanctions in the form of fines for the companies involved.
The fact that Mercedes escaped a fine is solely due to their role in uncovering the collaboration for the authorities.
