The European Commission has confirmed it is carrying out “unannounced inspections” in connection with raids at the offices of a number of tyremakers earlier in the year. This round of raids, however, has only taken place at the premises of “a consultancy firm” in two member states, which suggests the case is beginning to focus its attention.
Following the news of unannounced raids on Goodyear offices in France, Belgium and Luxembourg, Eurojust has confirmed that it has assisted the authorities in France, Belgium and Luxembourg with a series of coordinated searches of premises and offices of “an international tyre manufacturer”. While Eurojust hasn’t yet confirmed the identity of the manufacturer at the centre of the investigation, the locations match those that Goodyear itself has said were subject to unannounced visits.
In an operation that French newspaper Le Monde describes as “both spectacular and unprecedented,” investigators from three European countries carried out a series of raids against Goodyear today. The publication writes that the prosecutor in Besançon, France confirms this action, which took place just two months shy of the tenth anniversary of a fatal motorway crash involving a Goodyear Marathon LHS II truck tyre.
The share prices of Bridgestone, Continental, Goodyear, Michelin, Nokian and Pirelli were down by an average of 2.35 per cent following the news that the European Commission has started an antitrust investigation within the European Union.
Following the news that the European Commission has opened a price-fixing investigation across “several member states”, Michelin has officially confirmed that it too has been investigated as part of EC antitrust case. Nokian, Goodyear, Continental, Pirelli and Bridgestone have also been investigated as part of the EC case.
Bridgestone joined four other manufacturers in confirming to Tyrepress that it has been part of the European Commission’s series of unannounced inspections at tyre makers active within several European Union member states. A representative told Tyrepress: “Bridgestone can confirm that the European Commission is conducting an inspection at its European Headquarters. As a responsible company that is committed to fair practices and transparency, Bridgestone is fully cooperating.”
Pirelli has confirmed that it is among the tyre manufacturers in European Union member states receiving an unannounced visit from European Commission investigators today, according to Tyrepress sister site PneusNews. The EC is concerned that companies producing replacement market tyres for cars, vans, trucks and busses may have “violated EU antitrust rules that prohibit cartels and restrictive business practices.” A Pirelli spokesperson said the company “has always acted in total compliance with all rules and regulations,” adding that “it is guaranteeing full support” to investigators.
The European Commission’s unannounced inspections at European tyre company premises today included Continental. The Hanover, Germany based manufacturer said, “We can confirm that as of today investigations by European antitrust authorities are taking place at Continental in Germany.” A representative added that the company could not comment further on an ongoing investigation. The EC is investigating concerns of price coordination on new replacement tyres for passenger cars, vans, trucks and busses sold in the European Economic Area.
Following the news that the European Commission is investigating tyre manufacturers across Europe for anti-competitive practices, we now know that at least Nokian, Continental and now Goodyear have been visited.
The European Commission has initiated an unannounced inspection at Nokian Tyres plc’s headquarters in Nokia, Finland. The investigation forms part of the EC’s wider look at tyre manufacturers across several member states:
Instead of rectifying quality issues affecting hoses produced at the ContiTech plant in Korbach, Germany, someone allegedly chose to address the problem by systematically manipulating test results. Continental uncovered this potential fraud during an internal investigation, and authorities are now on the case.
On 3 August, LKQ Corporation (LKQ) and Uni-Select Inc confirmed that the previously-announced acquisition of Uni-Select by 9485‑4692 Québec Inc, which is a wholly-owned subsidiary of LKQ, officially completed on 1 August 2023. This follows a complex and ongoing monopoly-related investigation by UK authorities.
The Competition and Markets Authority (CMA) has opened an investigation into the proposed merger of Yokohama Rubber Co. Ltd of Trelleborg Wheel Systems Holding AB (TWS). Writing in a statement published on 31 January, CMA officials stated that “pursuant to section 96(2A) of the Act that the merger notice provided by Yokohama [and TWS]…” meets “the requirements of section 96(2) of the [relevant] Act.” In other words, the CMA investigation is a formality for a merger of this kind.
Prosecutors raided the offices of Hankook Tire & Technology Co. on 24 November as part of an investigation into alleged “unfair intra-affiliate trading”. According to the South Korean Yonhap news agency, investigators from the Seoul Central District Prosecutors Office seized documents from “the headquarters and offices of its affiliates in connection with suspicions of unfair business practices among the group’s affiliates”. Yonhap also reported that prosecutors specifically searched the office of Cho Hyun-bum, the chairman of Hankook Tire.
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.
If you would like the latest news from the Chinese tyre industry in Chinese, visit our partner site TyrepressChina.com. Or click below to continue on Tyrepress.
Pirelli
Continental
C Joyful; Unsplash
Steve Buissinne; Pixabay