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Stellantis' $854 million UK lawsuit over airbag, seatbelt cartels begins
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Stellantis' $854 million UK lawsuit over airbag, seatbelt cartels begins
Oct 2, 2024 10:08 PM

LONDON, Oct 1 (Reuters) - Stellantis' ( STLA ) 771

million euro ($854 million) London lawsuit against two safety

equipment makers began on Tuesday, with the European carmaker

arguing long-running cartels led to it being overcharged for

roughly a decade.

The automaker, which was formed by the 2021 merger of Fiat

Chrysler Automobiles and PSA Group, is suing Autoliv ( ALV ) and ZF/TRW

for allegedly charging higher prices for seatbelts, airbags and

steering wheels.

Sweden's Autoliv ( ALV ) and TRW - which was bought by

German rival ZF Friedrichshafen in 2014 - were found by the

European Commission to have participated in cartels, relating to

products sold to Japanese and European car manufacturers.

The two companies were fined 368.3 million euros in 2019

over cartels involving products supplied to some European car

producers, while a Japanese unit of Autoliv ( ALV ) was among companies

fined for cartels involving supplies to Japanese automakers.

Stellantis ( STLA ) argues that the practices of the cartels went far

wider than the European Commission's limited findings.

Its lawyer Colin West said in court documents that it was

"inherently unlikely" that Autoliv ( ALV ) and ZF/TRW's cartels affected

some carmakers but not Stellantis' ( STLA ) brands.

Autoliv ( ALV ) and ZF/TRW however argue that the European

Commission investigated the sector for several years - with the

companies' cooperation - and did not find Stellantis ( STLA ) was

targeted by the cartel.

The companies' lawyers said there was no collusion beyond

what was found by the European Commission and, if there was, any

overcharge was passed on by Stellantis ( STLA ) to customers.

The trial at the Competition Appeal Tribunal is expected to

take five weeks.

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