Volkswagen, Stellantis, others hit with $495 million EU cartel fine

Volkswagen, Stellantis, 13 other carmakers and their car association were fined a total of ₹458 million ($495 million) by EU antitrust regulators on Tuesday for taking part in a vehicle recycling cartel.

The European Commission, which raided the companies three years ago, said the cartel, which involved end-of-life vehicles, took place from May 2002 to September 2017, with automakers association ACEA organising meetings and contacts between the companies.

End-of-life vehicle recycling is when cars are dismantled and processed for recycling and disposal once they are no longer fit for use.


The EU competition watchdog said the companies agreed not to compete with each other in advertising the extent to which their cars could be recycled and agreed to keep quiet on how much recycled materials are used in new cars. They also agreed not to pay car dismantlers for processing the end-of-life vehicles. EU laws require carmakers to bear the costs of recycling such vehicles if needed, allowing car owners to dispose of cars free with a dismantler.

Other penalised members of the cartel included Toyota , Mitsubishi, Honda, Hyundai , Jaguar Land Rover, Mazda, GM , Suzuki and Volvo. The ACEA was handed a ₹500,000 fine.