An Introduction to Competition Law and Policy in the Modern Automobile Industry

Abstract

The automobile sector is one that never ceases to demand the attention of regulators and commentators alike because of its economic importance, strategic and systemic influence and its traditional status as a source of prestige and national pride. Thus a distinct competition policy had to be created for it over the years on both sides of the Atlantic. This piece begins by outlining the specificities of the motor industry before detailing two particular issues where competition decision-makers have had to bend rules for the car sector: namely regarding trade protections and distribution systems. The paper then concludes by looking to how previous experience could influence the approach of the authorities towards auto-makers in the current troubled economic times.