TRAXIO
TRAXIO is de federatie van de autosector en de aanverwante sectoren.
ID: 375586926923-05
Lobbying Activity
Response to Evaluation of the Motor Vehicle Block Exemption Regulation
19 Mar 2019
Evaluation of the Motor Vehicle Block Exemption Regulation (MVBER)
TRAXIO-Automotive Aftermarket Distributors, the Belgian federation for car part distributors and manufacturors (before known as FMA), is pleased to comment on the evaluation roadmap and confirms the important role of the sector specific rules for maintenance & repair services and the distribution of spare parts. The MVBER and the Guidelines provided in practice protection against a number of distortions. Both currently serve as an important framework which allows e.g. OE parts producers to supply independent parts distributors and the independent and authorised aftermarket. Also, parts suppliers’ right to brand their OE products with their own logo (dual branding), the warranty provisions and the definition of ‘original and matching quality parts’ has an important effect in the market helping to demonstrate the true origin and quality of parts to consumers and their competitive choices. Hence, hardcore restrictions serve an important purpose.
TRAXIO-Automotive Aftermarket Distributors, also agrees that the evaluation requires - among others - an analysis of new market developments and their impact on the supply and distribution conditions prevalent on the motor vehicle primary- and secondary, i.e. the after-market.
Preserving - and modernising – “MVBER 2.0”
In a 5-10 years perspective, there will still be a “MVBER legacy vehicle parc” with the need for maintenance, repair and spare parts and a vertically structured market requiring rules based on vertical restraints to ensure competition to the benefit of consumers.
At the same time, it is necessary to acknowledge that the motor vehicle is becoming ever-more computerised and complex, and this brings more technically advanced abilities to prevent, restrict and distort competition which should be captured by a “MVBER 2.0”:
Against this background it is important to assess new means for OEMs to frustrate competition. Such hindrances can now include means to technically prevent the use of independent spare parts, e.g. through the introduction of burdensome and ‘dynamically priced’ coding requirements (“software as a product”) which make the repair with independent spare parts uncompetitive.
Vertical relations: TRAXIO is concerned that the already existing imbalance between OEMs and aftermarket players will increase due to an increasingly condensed/flattened vertical integration of vehicle manufacturers in the entire supply chain. Vehicle manufacturers evolved since 2010 into new - additional - roles, entering as direct competitors into traditional independent aftermarket areas.
For example, traditionally the competition on the automotive repair and maintenance aftermarket was between the independent and authorised network workshops, but nowadays vehicle manufacturers, are no longer only active on the primary market. They have become, among others, also repairers themselves, due to more repairs also being done today remotely (e.g. resetting of fault codes, reprogramming, software updates).
Also, there are first examples where vehicle manufacturers have joined forces all together on a common Internet ordering platform for their original spare parts and thereby correspond to the role/function of an independent multi-brand spare parts distributor.
One of the traditional objectives of the MVBER was to enable effective competition by independent operators. To pursue this objective, it has become even more necessary with these new developments. The main competitors of independent repairers/operators are no longer only the authorised repairers/networks, but are nowadays also the vehicle manufacturer themselves, who have much more power and much more (in)direct technical and commercial means to frustrate effective competition by independent operators on the aftermarket.
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