Bundeskartellamt concludes cartel proceedings against manufacturers of household porcelain

17.10.2013

The Bundeskartellamt has today imposed fines totaling just under 900,000 euros on the companies Porzellanfabrik Christian Seltmann GmbH and KAHLA/Thüringen Porzellan GmbH, the ceramic industry association (Verband der Keramischen Industrie) and two individuals involved. With this fining decision it has concluded its investigation proceedings against manufacturers of household porcelain on account of anticompetitive agreements.

Andreas Mundt, President of the Bundeskartellamt: "Cartel agreements always cause serious economic harm. Economic difficulties in a particular sector cannot justify the consumer having to pay more for a product than he would if effective competition were in place. We have borne in mind the difficult economic situation in the porcelain sector in the current proceedings. We have therefore imposed relatively moderate fines, which take account of the financial situation of the individual companies involved."

The proceedings were triggered by an application for leniency by the company Villeroy & Boch AG. In February 2011 the Bundeskartellamt had carried out searches at six porcelain manufacturers in Germany and their trade association. The investigations which followed have shown that the porcelain manufacturers agreed, inter alia, to raise their prices already from 1 October 2006 in order to implement the increase in value-added tax which only came into effect on 1 January 2007. The association actively assisted the members of the cartel with their agreements. Two of the companies concerned could not be prosecuted due to insolvency and the proceedings against two other parties involved were discontinued for other reasons.

A settlement could be reached with the company Kahla, which had cooperated with the Bundeskartellamt during the proceedings and with the ceramic industry association. The fining decisions are not yet final and can be appealed against to the Düsseldorf Higher Regional Court. Logo: Offene Märkte | Fairer Wettbewerb

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