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Hearing Alert: Matter relating to price fixing allegations against tyre manufacturers resumes

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Hearing Alert: Matter relating to price fixing allegations against tyre manufacturers resumes

16th September 2022

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Competition Commission v
Apollo Tyres South Africa (Pty) Ltd; Goodyear South Africa (Pty) Ltd; Continental Tyres South Africa (Pty) Ltd; Bridgestone South Africa (Pty) Ltd; South African Tyre Manufacturers Conference (Pty) Ltd

The hearing will be held online (via Microsoft Teams) as follows:
 

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              Dates:     Monday, 19 September – Friday, 23 September 2022
              Time:      10h00 SAST

 
Those wishing to follow the online proceedings are requested to contact
the Tribunal’s Communications Officer (contact details below)

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The Tribunal will resume hearing evidence in this matter which relates to price fixing allegations against tyre manufacturers and the South African Tyre Manufacturers Conference (“SATMC”) (collectively, the "respondents").  
 
Numerous local and international witnesses have already testified in this matter, during online proceedings heard earlier this year. While witnesses for Goodyear and the SATMC are expected to give evidence in coming days, the Tribunal is also due to hear submissions relating an application by Goodyear to have an expert economic report submitted as evidence and to call an expert witness in this regard.
 
Background
 
The Competition Commission (“the Commission”) alleges that from around 1999-2007, the respondents discussed and agreed to fix the prices of passenger, light truck, bus, off-the-road, agricultural and earthmover tyres. This was allegedly done through the SATMC, an association for tyre manufacturers in South Africa. The respondents were SATMC members.  
 
The matter emanates from a price fixing complaint lodged by Parsons Transport (Pty) Ltd with the Commission. Following an investigation, the Commission concluded that the tyre manufacturers’ conduct contravened section 4(1)(b)(i) of the Competition Act i.e. price fixing.
 
Pursuant to the Commission’s investigation, Bridgestone applied for and was granted conditional immunity from prosecution in terms of the Commission’s Corporate Leniency Policy. Apollo settled with the Commission in December 2011 and paid an administrative penalty of R45 000 000.
 
The Commission is, thus, seeking relief against the remaining respondents for alleged price fixing and is asking that administrative penalties be imposed against them. The respondents deny the Commission’s claims against them.
 

Issued by:

Gillian de Gouveia, Communications Officer
On behalf of the Competition Tribunal of South Africa
Tel: +27 (0) 12 394 1383
Cell: +27 (0) 82 410 1195
E-Mail: GillianD@comptrib.co.za
Twitter: @comptrib

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