The Competition Commission has asked the Competition Tribunal to prosecute global airbag and seatbelt manufacturer Takata Corporation and its South African subsidiary Takata South Africa (SA) for alleged price fixing, market division and collusive tendering.

An investigation by the commission found that the Japan-based company had allegedly colluded with other motor safety product suppliers in respect of tenders for Honda Civic, Honda CRV, BMW and Toyota Yaris vehicles.

In the first case, Takata and Takata SA are alleged to have colluded with TRW Automotive and TRW Occupant Restraints SA on a tender issued by BMW in 2007 for the manufacture and supply of airbags, seatbelts and steering wheels for the BMW F25 (X3).

The commission alleges that Takata and TRW disclosed their prices to each other and agreed not to compete with each other.

TRW won the tender to supply thorax airbags, curtain airbags and rear seatbelts, while Takata won the tender to supply passenger airbags, front seatbelts and steering wheels with driver airbags.

TRW had approached the commission and applied for leniency in exchange for full information disclosure and cooperation with the commission when prosecuting Takata.

In a second case, Takata is alleged to have colluded with US company Autoliv by agreeing to fix prices, divide markets and tender collusively on a 2007 tender for seatbelts for Honda Civic vehicles.

Autoliv and its subsidiary Autoliv Southern Africa have already reached a settlement agreement with the commission and paid an administrative penalty of R149.96-million.

Takata and Autoliv are also alleged to have agreed to coordinate prices and bids for a 2008 tender to supply seatbelts, airbags and steering wheels for Honda Legend and Honda CRV vehicles.

Lastly, the two companies are further alleged to have disclosed their prices to each other in a 2008 tender issued by Toyota for the supply of seatbelts for Yaris vehicles.

The commission alleges that Autoliv had submitted a higher price to allow Takata to secure the contract.