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London (CNN Business) - The European Commission has fined Volkswagen Group and BMW $1 billion for colluding with Daimler to hold back the development of technology that could have reduced harmful emissions from their vehicles.
In a statement on Thursday, the Commission said the three German carmakers, along with Volkswagen subsidiaries Audi and Porsche, breached EU antitrust rules by agreeing to avoid competing on technical development in the area of nitrogen oxide cleaning.
The charges relate to conduct that took place between 2009 and 2014, when the carmakers held "regular technical meetings" to discuss the development of technology that eliminates harmful nitrogen-oxide emissions from diesel passenger cars, according to the Commission.
"The five car manufacturers Daimler, BMW, Volkswagen, Audi and Porsche possessed the technology to reduce harmful emissions beyond what was legally required under EU emission standards. But they avoided to compete on using this technology's full potential to clean better than what is required by law," the EU Commission's top antitrust official, Margrethe Vestager, said in the statement.
"In today's world, polluting less is an important characteristic of any car. And this cartel aimed at restricting competition on this key competition parameter," she added.
Volkswagen (VLKAF), including its Audi and Porsche brands, was fined €502 million ($595 million) and BMW (BMWYY) was fined €373 million ($442 million). Daimler (DDAIF) was not fined because it revealed the existence of the cartel, the Commission said.
Volkswagen said it was considering whether to appeal the ruling, which it suggested set a questionable precedent.
www.cnn.com
In a statement on Thursday, the Commission said the three German carmakers, along with Volkswagen subsidiaries Audi and Porsche, breached EU antitrust rules by agreeing to avoid competing on technical development in the area of nitrogen oxide cleaning.
The charges relate to conduct that took place between 2009 and 2014, when the carmakers held "regular technical meetings" to discuss the development of technology that eliminates harmful nitrogen-oxide emissions from diesel passenger cars, according to the Commission.
"The five car manufacturers Daimler, BMW, Volkswagen, Audi and Porsche possessed the technology to reduce harmful emissions beyond what was legally required under EU emission standards. But they avoided to compete on using this technology's full potential to clean better than what is required by law," the EU Commission's top antitrust official, Margrethe Vestager, said in the statement.
"In today's world, polluting less is an important characteristic of any car. And this cartel aimed at restricting competition on this key competition parameter," she added.
Volkswagen (VLKAF), including its Audi and Porsche brands, was fined €502 million ($595 million) and BMW (BMWYY) was fined €373 million ($442 million). Daimler (DDAIF) was not fined because it revealed the existence of the cartel, the Commission said.
Volkswagen said it was considering whether to appeal the ruling, which it suggested set a questionable precedent.
Volkswagen and BMW fined $1 billion for running emissions cartel
The European Commission has fined Volkswagen Group and BMW over €875 million ($1 billion) for colluding with Daimler to hold back the development of technology that could have reduced harmful emissions from their vehicles.
www.cnn.com
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