Recently, the Competition Commission of India (CCI) announced that in 2018, the agency found that five tire manufacturers and Indian tire industry associations violated the provisions of The Indian Competition Law and participated in cartel activities in 2011 and 2012.
It is reported that after many years, these six tire-related units have been fined, including Apollo Tire Co., Ltd., MRF Co., Ltd., Hit Tire, JK Tire, Birla Tire Co., Ltd. and the Indian Automobile Tire Manufacturers Association.
The companies are raising prices for aftermarket cross-layer tires and limiting and controlling the production and supply of these products, and while the CCI issued the order more than three years ago, MRF Tires requested the Supreme Court to seal the order, which was rejected on January 6, 2022.
It is understood that CCI fined Apollo Tyres Rs.426 crore (approximately RMB362 million), MRF Tyres Rs. 622 crore (approximately RMB528 million), HIT Tyres Rs 252 crore (approximately RMB214 million), JK Tyres Rs. 310 crore (approximately RMB263 million), Birla Tyres Rs. 178 crore (approximately RMB151 million) and issued production suspension orders to various tyre manufacturers.
At the same time, it fined the Indian Association of Auto Tire Manufacturers Rs 840 crore (about 71.35 million yuan) and instructed its members to break away from wholesale and retail prices.
CCI also reported that the above-mentioned tyre companies and certain individuals of the Indian Auto Tire Manufacturers Association were held responsible for anti-competitive conduct.