The tyre manufactures had exchanged price-sensitive data amongst them through the platform of their association, thereby violating the law that prohibits anti-competitive agreements, per the CCI statement.
The Competition Commission of India (CCI) on February 2 announced the imposition of monetary penalty on five major tyre manufacturers for “indulging in cartelisation”.
A penalty of Rs 425.53 crore was levied on Apollo Tyres, Rs 622.09 crore on MRF Ltd, Rs 252.16 crore on CEAT Ltd, Rs 309.95 crore on JK Tyre and Rs 178.33 crore on Birla Tyres, the CCI said in a statement.
“The tyre manufactures had exchanged price-sensitive data amongst them through the platform of their association, namely, Automotive Tyre Manufacturers Association (ATMA), and had taken collective decisions on the prices of tyres,” the fair trade regulator noted.
The five tyre manufacturers and ATMA were held guilty of contravention of the provisions of Section 3 of the Competition Act, which prohibits anti-competitive agreements including cartels, during 2011-2012, it said.
