In January 2016, the European Commission (“EC”) imposed fines on three firms for participating in a cartel for alternators and starters, thereby infringing Article 101 TFEU. Alternators and starters are important components of car engines. The Commission concluded that for more than five years, the car parts manufacturers coordinated prices and allocated customers or projects. The cartel took place outside the European Economic Area, but its effects were felt by European customers (i.e. car manufacturers purchasing the alternators and starters).
Compass Lexecon provided support in the context of potential damages litigation following from the cartel. We calculated the potentially affected value of commerce and estimated the overcharge on the basis of an econometric model.
The Compass Lexecon team included Elena Zoido, Nadine Watson, Thilo Klein, Bernardo Sarmento, and Sofia Galan, assisted by other economists and analysts.