European Commission consults on Motor Vehicles Block Exemption

European Commission consults on Motor Vehicles Block Exemption

 

The European Commission has launched a public consultation on Regulation 461/2010 (the motor vehicle block exemption) and its accompany Guidelines.  The Commission invites responses by 25 January 2021.

Regulation 461/2010 expires on 31 May 2023.  It requires the Commission to produce an evaluation report on its operation by 31 May 2021.

The Commission is seeking responses to a number of questions on the review criteria (effectiveness, efficiency, relevance, coherence and EU added value), including on:

1.         Whether competition in new motor vehicle distribution, repair and maintenance services, and distribution of spare parts has intensified, weakened or stayed the same since 2010.

2.         Whether the scope of the block exemption (particularly 30% market share threshold and list of hardcore restrictions) is still appropriate and effective.

3.         Whether the objectives of the block exemption (in terms of promotion of competition and removal of restrictions) have been met and the prevalence in practice of the different types of restrictions referred to in the motor vehicle block exemption rules (including whether any indirect means of achieving anti-competitive results have been encountered).

4.         Whether the block exemption (including definitions and particular provisions) has provided clarity and increased legal certainty as to the applicable rules.

5.         What costs have been incurred in complying with the block exemption and whether these have been proportionate to any resultant benefits.

6.         Whether the objectives of the rules remain relevant, with regard to any changes in the market.

7.         Whether the motor vehicle block is consistent with the vertical block exemption and other EU rules.

8.         Whether the motor vehicle block exemption rules have made it easier for national authorities and courts to apply the rules or whether national rules could have been equally effective.

https://ec.europa.eu/competition/sectors/motor_vehicles/legislation/mvber_review.html