A lead battery ‘cartel’ has been fined almost €4million ($4.5million) for price fixing during a ten year period in Belgium.
The six firms admitted their part in the cartel following the Investigation and Prosecution Service of the Belgian Competition Authority inquiry.
The price-fixing centered around the firms applying an agreed lead surcharge to the selling prices of motive power batteries of their clients from 2004 till 2014.
In essence the lead surcharge is the fee calculated on top of the net price of a motive power battery, in order to adjust the selling price.
The companies fined are Battery Supplies, Celectric, Emrol, Enersys, Exide Technologies and Hoppecke.
The fines are: Battery Supplies, €517,000 ($584,494); Celectric, €71,000 ($80.249); Emrol, €241,000 ($272,394); Enersys, €1,798.000 ($2million); Exide Technologies, no fine; Hoppecke €1,230.000 ($1.39million).
All companies under investigation have agreed to the settlement, said the Belgian Competition Authority.
BCA stated on their website that this sudden price increase had caused the undertakings concerned (except Emrol) to instate multilateral meetings to discuss the situation with each other.
The statement continues: “The discussions culminated in agreements relating to a common lead surcharge which was applied to the selling prices of motive batteries of their clients in Belgium.
“The above mentioned undertakings held from 2004 until 2011 quarterly meetings (Emrol entered the cartel late 2009) in order to agree on the applicable lead surcharge.
“The practice at issue was denounced late 2013 by Exide Technologies that benefits of a full immunity in this case. Subsequently Hoppecke, Battery Supplies and Enersys also applied for leniency and were granted a reduction of the otherwise applicable fines.”
Following the leniency application of Exide Technologies, the Investigation and Prosecution Service opened an investigation and carried out inspections in April 2014 at Battery Supplies, Emrol, Enersys and Hoppecke Belgium.
