European Commission fines battery recycling cartel

The European Commission has imposed a total of EUR 68 million in fines on Campine, Eco-Bat Technologies and Recylex for their involvement in fixing prices for the purchase of scrap automotive batteries.

Johnson Controls, the leniency applicant, received full immunity from fines.  It appears that the company started its own investigation into suspected cartel activity after an employee reported the activity to a compliance hotline.

The Commission found that between 2009 and 2012 the four recycling companies fixed purchase prices of scrap lead-acid automotive batteries in Belgium, France, Germany, and the Netherlands.  The Commission also found that the companies were well aware of the illegal nature of their conduct and also used code names to hide their identities.

The infringement relates to price-coordination on the buy-side of the market, which is unusual but not unprecedented.  The decision shows that regulators will treat collusion to reduce purchase prices as seriously as coordination to raise selling prices.

Source: Commission press release IP/17/245

European Commission opens three competition investigations into e-commerce

The European Commission has launched three separate cases concerning suspected breaches of Article 101(1) TFEU relating to e-commerce.  These investigations follow the Commission’s e-commerce sector inquiry. 

Two investigations have been launched on the Commission’s own initiative.  One investigation concerns four consumer electronics manufacturers (Asus, Denon & Marantz, Philips and Pioneer) and whether they have infringed competition law by limiting the ability of retailers to set their own prices for consumer electronics products.

A second investigation concerns whether agreements between Valve Corporation (the owner of the Steam game distribution platform) and five PC video game publishers impose so-called geo-blocking which prevents customers from purchasing products based on their location.

A third investigation has been prompted by complaints, rather than on the Commission’s own initiative.  This concerns the hotel accommodation sector where the Commission is examining whether some of the biggest European tour operators (Kuoni, REWE, Thomas Cook and TUI) and Meliá Hotels are using agreements that may discriminate between customers based on their nationality or country of residence.

Commission press release IP/17/201