Continental included in tyre cartel investigation

The Competition Commission of India (CCI) investigation into alleged cartel activities and anti-competitive behaviour doesn’t exclusively focus on local tyre makers. Stock exchange Börse Frankfurt shares news from the German Press Agency (dpa) regarding the visit of CCI officials to a site operated by Continental AG in the city of Faridabad. The statement shares that Continental is “cooperating fully with the authorities” but does not want to comment on the details of this ongoing investigation.

Continental is one of four tyre makers under investigation, alongside Indian firms Apollo Tyres, Ceat and MRF. Bombay-based stock exchange BSE sought clarification from the three local players, and in addition to the reply from Apollo Tyres that we shared yesterday, Ceat and MRF have now responded too.

Ceat Limited company secretary Vallari Gupte states that the tyre maker is “fully cooperating with the investigation.” He adds that Ceat practices the “highest levels of corporate governance” and strongly reiterates that “there has been no wrongdoing on the part of Ceat.” The company thus reassures all stakeholders that “Ceat has never indulged in nor was part of any cartel which undertook any anti-competitive practices.” Gupte concludes that “we therefore do not support or confirm any other comments as made in the said media report of CNBC18, as referred by the exchange, apart from the statements as aforesaid.”

A guarded reply from MRF confirms the visit from CCI officials on 30 March and confirms that the company has “fully cooperated in the investigation.” But MRF stresses that “since the matter is in the investigation stage, it is premature for the company to determine the materiality of the matter.” Company secretary S Dhanvanth Kumar writes that “MRF would like to state that it follows high standards of governance in its business practices.”