EU hits car recycling cartel with 458 Mio Euro fine
EU hits car recycling cartel with 458 Mio Euro fine

2 April 2025 – The European Union’s antitrust watchdogs has fined a car recycling cartel €458 million for illegal collusion and consumer deception. European Commission rejects request to disclose NGO funding. What could still be important today: Announcement of reciprocal tariffs by US President Donald Trump.

EU fines car recycling cartel 458 million euros

The European Commission announced yesterday that it has imposed a fine of 458 million euros on a cartel for the recycling of end-of-life vehicles in the EU that has been active for over 15 years. The cartel, in which 15 major car manufacturers and the automobile association ACEA were significantly involved, was uncovered following a voluntary disclosure by the manufacturer Mercedes-Benz.

In particular, the Commission found that the parties involved had colluded on two points:

They had agreed not to pay car dismantling companies for the processing of end-of-life vehicles, as they considered the recycling of end-of-life vehicles to be a sufficiently profitable business. The companies also exchanged commercially sensitive information about their individual agreements with car dismantling companies and coordinated their behaviour towards the dismantling companies

Furthermore, according to the Commission, it was agreed not to advertise how much of an end-of-life vehicle can be recycled, recovered and reused and how much recycled material is used in new cars. This was intended to prevent consumers from taking information about the recycled content into account when choosing a vehicle in order to reduce the pressure on companies to go beyond the legal requirements.

Metal scrap also soon in the eye of the cartel watchdogs?

We are curious to see how long it will take the European Commission to take a closer look at certain movements in the steel sector. The takeovers of small and medium-sized companies in the recycling sector in recent years by large European steel mills and the excessive lobbying for extensive export bans and restrictions on metal scrap in recent years could attract the attention of the EU antitrust watchdogs.

European Commission rejects request for disclosure of NGO funding

According to conservative media, the European Commission has rejected a request from the EU Parliament to disclose its NGO funding in connection with a possible scandal involving former EU Commissioner Frans Timmermans. It is striking that while the left-green media repeatedly call for more transparency in lobbying matters, the lobbying activities of the European Union itself are hardly ever scrutinised.

What could still be important today

Today, US President Donald Trump is expected to unveil reciprocal tariffs on disproportionate trade restrictions against the United States. The reporting on the topic so far is rather speculative and will only be able to be assessed after the announcement by the US President. We will of course keep you up to date!

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