COMPETITION/MOTOR VEHICLES: CONSUMER GROUPS DEMAND END TO CAR BLOCK EXEMPTION.

In a meeting between EU Competition Commissioner, Mario Monti, Consumers' Association and the BEUC, held on January 24, the group demanded that car distribution in the future must be shaped by the market. The market must be free to develop and adapt to consumer demand and not shaped by Regulation, as it currently is. According to the European Consumers' Organisation (BEUC), this means that there will not be a single model for car distribution across Europe, but different solutions will most likely develop, led by market forces, in different regions/countries, possibly in different categories of vehicles, depending on consumer demand.A key strand of the manufacturers' benefits comes from market segmentation and consumer organisations believe that some intervention will almost certainly be necessary at EU level to prevent manufacturers from continuing with present practices. Such intervention at EU level may need to take the...