Business: CCI imposes Rs.200 cr fine on Maruti Suzuki for anti-competitive practices
New Delhi: The Competition Commission of India (CCI) has imposed a fine of Rs.200 crore on the country’s largest carmaker, Maruti Suzuki, for anti-competitive practices, media reported on Monday.
India’s antitrust regulator took the step after finding how the company forced dealers to discount cars and asked Maruti Suzuki to deposit the fine within two months.
The watchdog had started in 2019 probing allegations that Maruti Suzuki forced its dealers to limit the discounts they offered, thus effectively stifling competition among them and harming consumers who could have benefited from lower prices if dealers operated freely, reports said.
In its Monday order, the CCI directed the company to “cease and desist” from indulging in such practices.
In 2021, the company hiked prices thrice. In June, it announced a price hike for its entire line-up to come into effect in the third quarter of 2021 (July-September), citing as reason the increase in various input costs over the past year.
In January it increased prices by up to Rs 34,000, and by one to six percent in April 2021.
(VP)
