Antitrust Law Daily Wrap Up, ANTITRUST NEWS: Japanese auto parts companies sentenced to pay a total of $171 million in fines for price fixing, (Jul 11, 2014)

By Greg Hammond, J.D.

Two Japan-based automobile parts manufacturers, NSK Ltd. and JTEKT Corp., have been ordered to pay criminal fines of $68.2 million and $103.27 million, respectively, for conspiring to allocate markets, rig bids, and fix prices for automobile parts sold to car manufacturers. The federal district court in Cincinnati filed a judgment against NSK on July 8 and judgment against JTEKT on July 9, pursuant to two plea agreements the companies reached with the government in September 2013 (U.S. v. NSK Ltd., Criminal No. 1:13-CR-103) and (U.S. v. JTEKT Corp., Criminal No. 1:13-CR-104).

According to NSK’s plea agreement and JTEKT’S plea agreement, the companies conspired to allocate the supply of, rig bids for, and fix, stabilize, and maintain the prices of bearings sold to Toyota manufacturers in the U.S. In addition, JEKT conspired to rig bids and fix prices for electric powered steering assemblies sold to Nissan manufacturers in the U.S.

The charges against NSK and JTEKT were announced by the Department of Justice in September 2013, along with charges against seven other Japan-based companies, including: Hitachi Automotive Systems Ltd.; Mitsuba Corp.; Mitsubishi Electric Corp.; Mitsubishi Heavy Industries Ltd.; T.RAD Co. Ltd.; Valeo Japan Co. Ltd.; and Yamashita Rubber Co. Ltd.

Companies: NSK Ltd.; JTEKT Corp.; Hitachi Automotive Systems Ltd.; Mitsuba Corp.; Mitsubishi Electric Corp.; Mitsubishi Heavy Industries Ltd.; T.RAD Co. Ltd.; Valeo Japan Co. Ltd.; Yamashita Rubber Co. Ltd.

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