A German firm and a South Korean firm, involved in the car parts industry, have agreed to pay a settlement amount totalling R2 401 923, after being accused of allegedly colluding to fix prices, divide markets and tender collusively in relation to Requests for Quotations (“RFQs”) to  supply starter motors and windshield wipers.
 
The settlement amount forms part of the terms of a consent agreement concluded between the Competition Commission (“the Commission”) and Robert Bosch GmbH (“Robert Bosch”) and Bosch Electrical Drives Co., Ltd (“Bosch Electrical”). Robert Bosch is a company incorporated under the company laws of Germany and Bosch Electrical is a company incorporated under the company laws of South Korea.
 
The consent agreement has been confirmed as an order by the Tribunal. Among others, the firms also agree to continue to implement an extensive competition law compliance programme and to refrain from engaging in conduct in contravention of section 4(1)(b) of the Competition Act (“the Act”) in the future i.e., price fixing, market division and tender collusion.
 
No admission
 
Although Robert Bosch and Bosch Electrical have agreed to the terms of the consent agreement, the two firms do not admit that they contravened section 4(1)(b) of the Act. The Commission, in turn, did not insist on an admission of liability due to the insignificant nature of the effects of Robert Bosch and Bosch Electrical’s conduct in South Africa, according to the Commission.
 
Background
 
According to the Commission, its investigation against Denso Corporation (a company incorporated under the company laws of Japan), Robert Bosch and Bosch Electrical revealed the following instances of collusion:

 
The Commission concluded that the conduct outlined above between Denso, Robert Bosch and Bosch Electrical constitutes price fixing, division of markets and collusive tendering in contravention of sections 4(1)(b)(i), (ii) and (iii) of the Act.