NEC, capacitor makers lose challenge against $298 mln EU cartel fine

Nippon Chemi-Con

29/09/2021 10:36

By Foo Yun Chee
    LUXEMBOURG, Sept 29 (Reuters) - NEC Corp  6701.T  and four
other Japanese capacity makers on Wednesday lost their court
challenge against a 254 million euro ($298 million) EU fine for
taking part in a cartel for more than a decade.
    The European Commission in its 2018 decision said Elna,
Hitachi Chemical, Holy Stone, Matsuo, NEC Corp, Tokin, Nichicon
 6996.T , Nippon Chemi-Con  6997.T  and Rubycon had fixed prices
for the supply of aluminium and tantalum electrolytic.
capacitors.
    They said the cartel took place between 1998 and 2012 and
that while meetings between the participants took place in
Japan, the operation was on a global scale.
    NEC, Nichicon Corp, Tokin, Rubycon and Nippon Chemi-Con
subsequently challenged the EU competition enforcer's fine at
the Luxembourg-based General Court, Europe's second highest.
    Judges upheld the EU decision.
    "The General Court maintains the fines imposed by the
Commission on several undertakings by reason of their 
participation in a cartel on the market for aluminium
electrolytic capacitors and tantalum electrolytic capacitors,"
they said.
    Capacitors are used in electronic products such as
smartphones, home appliances, car electronic systems and wind
turbines.
    The companies can appeal to the EU Court of Justice,
Europe's highest.
    Sanyo Electric Co  MATEIH.UL  and Panasonic Corp  6752.T 
avoided a fine as they had alerted the EU competition enforcer
to the cartel.
    The cases are T-341/18 Nec v Commission, T-342/18 Nichicon
Corporation v Commission, T-343/18 Tokin v Commission, T-344/18
Rubycon and Rubycon Holdings v Commission and T-363/18 Nippon
Chemi-Con Corporation v Commission.
    ($1 = 0.8537 euros)

 (Reporting by Foo Yun Chee; editing by Jason Neely)
 ((foo.yunchee@thomsonreuters.com; +32 2 287 6844; Reuters
Messaging: foo.yunchee.thomsonreuters.com@reuters.net))