Correcting the Antitrust Deficit of the Indian Automobile Aftermarket

The Rs.330 billion Indian auto-part industry was the target of recent antitrust scrutiny by the Competition Commission of India. The Commission after three (3) years of investigation penalized 14 car companies for engaging in exploitative conduct in Indian after-market for automobile spare parts and repair tools. Given that the sector remains unregulated in India, the Commission also issued a host of behavioural remedies, in an attempt to align the Indian law with those of the mature competition law jurisdictions. The Commission’s decision creates many firsts for the nascent competition law jurisprudence in India, including those pertaining to the concept of ‘aftermarkets, vertical restraints and the interface between IPRs and antitrust law.