Local view for "http://purl.org/linkedpolitics/eu/plenary/2002-02-05-Speech-2-160"

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". Mr President, it is my pleasure to make this – albeit brief – presentation of the draft motor vehicle Block Exemption Regulation, which the Commission adopted this morning. Parliament is aware of the relatively severe practical limitations of the current Block Exemption Regulation, which is due to expire next September. It is not sufficiently beneficial for consumers, particularly where they wish to exercise their right to a single market. Moreover, the rules currently in force hinder the development of new methods, including Internet distribution; lastly, access to technical information for independent repairers needs to be improved too. We have therefore put together this Block Exemption Regulation, which the Commission has adopted today, and I would like briefly to outline its main points. Another way to reduce dealers’ dependence on manufacturers is by laying down the obligation for manufacturers to give sufficient grounds for deciding to cancel distribution contracts. If the distributor does not agree with the grounds given, it can have recourse to a mediator or a court. Moreover, the Commission has decreed, through this draft regulation, that a reasonable period of notice must be given before the cancellation of a contract, in most cases two years. All these measures ensure that distributors can make full use of the new opportunities offered to them by this draft regulation. I would now like to say a few words on after-sales services, which are also extremely important. The new draft regulation seeks to ensure that consumers have a genuine choice and that they can have recourse to both authorised repairers and independent operators. In the interests of the safety and reliability of all vehicles – we have placed great emphasis on this objective – we have to ensure that all operators can compete with each other in all sectors without this affecting the quality of the service provided, which must continue to be of the highest level. The new regulation allows all vehicle manufacturers to set quality requirements which must be respected by all repairers who wish to be authorised repairers. Manufacturers can therefore guarantee that the members of their network comply with high quality standards. This avoids foreclosure of these markets as new operators could now be designated authorised repairers, provided, of course, that they are prepared to observe the requirements set by the vehicle manufacturers. The proposal also lays down the benefit for dealerships whose contract has come to an end of being able to continue to operate as official dealerships of their brand for as long as they satisfy the quality requirements. The general level of technical skill on the market is thus increased and a substantial Europe-wide network of official repairers is maintained. This will help to bring higher quality of service and greater road safety. Moreover, we can expect the proposal to have a positive impact on employment and small and medium-sized businesses. The proposal seeks to make it easier for independent operators on the after-sales market to compete. In view of the increasing complexity of motor vehicles, it is important for independent repairers to have better access to all the necessary technical information, including diagnosis devices, equipment and training. Any discrimination between official repairers which are part of the network and independent repairers is therefore unacceptable. The proposed changes also encourage the use of spare parts which are cheaper but of equivalent quality, making repair work less costly. I would like to end, Mr President, ladies and gentlemen, by focusing on the procedure. The next stage in the procedure is consultation with the European Parliament and the Member States and the publication of the draft regulation in the Official Journal. This will allow the Commission to receive comments from all the interested parties before adopting the final regulation. The whole process should be concluded before next summer. I am especially looking forward to giving a more detailed presentation of the draft regulation to the Parliamentary Committee on Economic and Monetary Affairs on 19 February and to continuing the fruitful dialogue already underway between the Commission and Members of Parliament, particularly Mr Konrad, who is your rapporteur for the subject, and the Chairman, Mrs Randzio-Plath. Mr President, we have addressed a complex subject: a subject which is also extremely important, practical in nature and has wider significance. If we want the European citizens genuinely to identify with European integration, we cannot afford to let such a key element of the single market as that in motor vehicles to continue not to be a single market, for it would be unfair to the consumer. The basic line underpinning the regulation is that the new system must be more stringent than the existing regulations and must allow greater competition on the sales and after-sales markets. What are the main characteristics? Firstly, as regards the sale of new vehicles, flexibility and freedom to choose are the draft’s key points. When they select their distributors, vehicle manufacturers can choose between a selective distribution system and a distribution based on territorial exclusivity, but they can no longer combine the two systems. Both systems allow a vehicle manufacturer to guarantee that the members of its distribution network are qualified and that its distribution network covers all the areas of Europe, thus ensuring total coverage of the territory. In both cases, the rights linked to the single market will be much, much better safeguarded than at present. In an exclusive distribution system, distributors will be assigned to a specific geographical area such as a city, within which no other distributor will be permitted to open a showroom or carry out sales activities. An exclusive dealership may, however, sell to any potential buyer that approaches its showroom. This also applies to independent resellers, to those known as grey resellers. These resellers could be supermarkets, for example, and they would exploit the price differentials to buy vehicles in countries where the prices are lower and then sell them in Member States where prices are higher, thus helping to create a genuine single market. If, on the other hand, manufacturers opt for selective distribution, the distributors can advertise and send out customised mail shots and e-mails to consumers throughout Europe, even visiting them in person. Consumers could, however, still encounter difficulties in dealing with a dealership from another Member State, particularly as regards simple, direct contact with the foreign dealership, payment of invoices and agreements regarding the delivery of the vehicle. We therefore deemed it necessary to adopt a more radical approach in order to bring about greater integration of the markets, making it genuinely possible for consumers to buy vehicles abroad. A vehicle distributor must be able to open sales or delivery outlets closer to consumers’ places of residence, including in other Member States. On a practical level, this means, for example, that an Amsterdam dealer could open a showroom in the United Kingdom and sell there at the Dutch retail price, which is 23% lower than the British price. This, of course, would create the necessary market conditions for reducing the currently considerable price differentials of motor vehicles in the European Union. Then consumers are demanding multi-brand dealerships. The draft regulation makes multi-brand selling much more simple. The only permissible constraint is that the different brand models are displayed in different areas of a showroom so as to avoid confusion between brands. This display method is already used in car showrooms and has proved universally satisfactory. Moreover, the draft regulation seeks to reorganise the existing relationship between sales and after-sales services, allowing specialisation. Distributors will be able to opt to provide after-sales services themselves, as dealerships currently do, or they will be able to subcontract to one or more authorised repairers. These repairers must observe all the quality requirements set by the vehicle manufacturers. In addition, block exemption makes intermediaries’ work much easier: one example is that of which buys vehicles on behalf of consumers and will now be able to find the best deal for consumers more easily. All these factors give distributors more room for manoeuvre to organise their activities on the basis of market conditions, exploiting new sales opportunities and thus consolidating their independence from manufacturers."@en1
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