EU: Parts Monopoly Threatens Small Business

A monopoly period for carmakers on visible spare parts would ‘destroy’ independent parts producers, according to ECAR (European Campaign for the Freedom of the Automotive Parts and Repair Market).

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The comments come in light of the EU Commission’s proposal not to extend design rights on visible spare parts (body panels, lighting, automotive glass), but look at alternative solutions instead.

In an imminent report, Alexander Radwan of the Legal Affairs Committee (JURI) suggests vehicle manufacturers should be given a spare parts monopoly over a period that lasts as long as the car model is in production.

Alternatively, Member States can opt for liberalising the market from the day new car model goes on sale by imposing an ‘equitable remuneration’ fee on independent producers of spare parts.

In response, Louis Shakinovsky, Chairman of ECAR, said, ‘A monopoly period for the car industry would destroy an efficient SME structure and criminalise businesses which operate legally in many Member States.

Read the entire news on the source link below.

600450 EU: Parts Monopoly Threatens Small Business glassonweb.com
Date: 23 December 2006
Source: Bodyshopmag.com

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