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Thursday, Mar 12, 2026

EU Imposes €458 Million Fine on 15 Automakers for Recycling Cartel

Volkswagen, Renault/Nissan, and Stellantis face the largest penalties in a major crackdown on anti-competitive practices in vehicle recycling.
The European Commission announced on April 1, 2025, that it has imposed a total fine of €458 million on 15 automakers for participating in a cartel related to the recycling of end-of-life vehicles from 2002 to 2017. The largest fines were directed at Volkswagen, which received €127.7 million; Renault/Nissan, penalized €81.5 million; and Stellantis, which faced a fine of €74.9 million.

Mercedes-Benz was not fined as it disclosed the cartel's existence in 2019, leading to a leniency agreement.

The European Automobile Manufacturers Association (ACEA), the primary lobby group for the sector, was also sanctioned with a €500,000 fine for facilitating collusion among the manufacturers involved, as highlighted by the Commission.

Additionally, notable fines were issued to Ford (€41.5 million), BMW (€24.6 million), and Toyota (€23.5 million).

European Commissioner for Competition Teresa Ribera stated that the Commission has taken robust action against companies that colluded to avoid competition in recycling.

The collusion involved coordination over 15 years to avoid paying for recycling services for vehicles that had reached the end of their life cycle.

This practice contradicted the directive requiring that such vehicles be retrieved for recycling, recovery, and disposal to reduce waste and reclaim valuable materials, including metals, plastics, and glass.

According to the Commission, the 15 penalized groups, alongside Mercedes-Benz, agreed not to compensate dismantling centers, considering that this activity was profitable enough on its own.

They also coordinated to downplay the quantities of recycled materials in new vehicles to prevent consumers from factoring environmental information into their purchasing decisions.

This strategy aimed to limit customer pressure on manufacturers to exceed legal recycling requirements, the European executive explained.
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