Tuesday, October 14, 2014

Competition Commission probe price fixing in the automotive industry

Loyiso Langeni
14 October 2014

The Competition Commission said it has launched an investigation into allegations of price-fixing in the automotive industry.

In a statement the commission said information it has in its possession suggests that from 2000 to date, 82 automotive component manufacturers have colluded in respect of 121 automotive components. 

Commission Spokesperson Mava Scott said what happens is that when the is a new design of a car that is coming into the market tender would be patronize by these big players upon which the manufacturers of automotive components often submit tenders.

“This where we have found the convention of the act because they have met and discussed prices, they have exchanged competition information which are all in contravention of the act.” Scott added. 

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