Parts supply law looms
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• Vehicle manufacturers are bracing themselves far more shocks as details of the proposed changes to Block Exemption emerge.
In moves designed to counter what the EU sees as "actions incompatible to 123/85" (block exemption regulations) it plans to legislate on parts supply.
Vehicle manufacturers' moves to have only their name put on component parts would be outlawed—the proposals state that parts suppliers must show their own brand marks on their products.
The regs would also prohibit any moves by vehicle manufacturers to stop franchised dealers from buying parts from other sources.
Producers and independent distributors will have the legal right to supply franchised dealers with alternative products. However, it is likely that a stipulation will be made that such parts must be of equal quality.
If vehicle manufacturers want to claim that parts from other suppliers are inferior, such claims must be backed with independent technical tests. A proposed clause says that "the manufacturer will lose the advantage of exemption if it restrains freedom, whether directly or indirectly".