Not back, but towards the future

April 18, 1951 was a milestone for the future of the European Union. With the signing of the treaty establishing a European Coal and Steel Community (ECSC), the cornerstone for lasting peace and prosperity in Europe was laid. Over the past 70 years, instead of the protectionist Montanunion, common values ​​have come to the fore: respect for human dignity, democracy, freedom, equality and the rule of law. April 17, 2023 could be an important milestone for the future of the independent aftermarket – if the Commission does not look back but towards the future.

The Treaty on the Functioning of the European Union gives it exclusive competence to set the competition rules necessary for the functioning of the internal market. In this context, the Motor Vehicle Block Exemption Regulation (MVBER) was extended by a further five years. At LKQ Europe we welcome this decision.

It's right and important. Because the MVBER has made a significant contribution to the benefits for consumers. It has given independent market participants the freedom and opportunity to exert competitive pressure on car manufacturers and the aftermarket.

The automotive industry is currently undergoing change – perhaps the biggest upheaval since the transition from horses to automobiles. The market and the technologies are developing at a rapid pace. New drive technologies are displacing established concepts, new and innovative market participants are conquering large shares and data generated in the vehicle are becoming increasingly important, for example as a source for services. Of crucial importance for the independent aftermarket: access to all necessary information and resources.

The path we have taken is correct. The update of the supplementary guidance and in particular the inclusion of a new section on vehicle generated data is a positive step forward. Understanding that vehicle-generated data is an imperative for repair and maintenance sets a foundation for our industry. Together with the so-called Data Act, this enables the independent aftermarket to play its full role and offer its services at competitive prices.

Simply put, it is about participation. To put workshops in the position to benefit from the transformation towards the mobility of the future they need to adapt to the technology, call for the data and report any obstruction. The MVBER is there to create a market. If it doesn’t function correctly it distorts the market, and LKQ cannot protect the aftermarket alone.

Why is that not only important for us and the more than 100,000 independent workshops that we supply every day? Because European consumers should receive a wide range of services at competitive prices. Sustainable and affordable mobility.

Looking ahead, the European Commission has taken a big step in the interests of consumers and our customers, the independent workshops. What is important is that the MVBER will continue to be relevant after May 31, 2028. Market practices must therefore be closely monitored and regulations enforced where necessary.

A future full revision of the MVBER should also address the car manufacturers' monopoly parts and allow for fair competition from independent repairers to achieve efficiencies for the benefit of consumers. You shouldn't look back, but rather look ahead towards the future.