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

NEC, capacitor makers lose challenge against $298 million EU cartel fine
NEC, capacitor makers lose challenge against $298 million EU cartel fine   -   Copyright  Thomson Reuters 2021   -  
By Reuters

<div> <p>By Foo Yun Chee</p> <p><span class="caps">LUXEMBOURG</span> – <span class="caps">NEC</span> Corp 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.</p> <p>The European Commission in its 2018 decision said Elna, Hitachi Chemical, Holy Stone, Matsuo, <span class="caps">NEC</span> Corp, Tokin, Nichicon, Nippon Chemi-Con and Rubycon had fixed prices for the supply of aluminium and tantalum electrolytic. capacitors.</p> <p>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.</p> <p><span class="caps">NEC</span>, 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.</p> <p>Judges upheld the EU decision.</p> <p>“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.</p> <p>Capacitors are used in electronic products such as smartphones, home appliances, car electronic systems and wind turbines.</p> <p>The companies can appeal to the EU Court of Justice, Europe’s highest.</p> <p>Sanyo Electric Co and Panasonic Corp avoided a fine as they had alerted the EU competition enforcer to the cartel.</p> <p>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.</p> <p>($1 = 0.8537 euros)</p> <p/> </div>