Washington, DC - The Federal Trade Commission is currently accepting public comments on an application by ZF Friedrichshafen AG and TRW Automotive Holdings Corp. to sell TRW’s North American and European linkage and suspension business for heavy and light vehicles to the Tokyo-based global machine component manufacturer THK Co., Ltd.
The divestiture is required by the FTC’s May 2015 proposed order settling charges that the $12.4 billion merger of ZF and TRW – combining two of the world’s largest auto parts suppliers – would likely harm competition in the North American market for heavy vehicle tie rods. The parties’ divestiture also addresses competition concerns raised by the European Commission. The linkage and suspension business to be divested includes five manufacturing plants in Michigan, Canada, the Czech Republic, and Germany, and leased space in a research and development lab in Germany. ZF and TRW request approval to divest this business to THK, whom the divestiture application describes as having the ability to operate the TRW linkage and suspension business as an independent and effective competitor.
The Commission will decide whether to approve the proposed divestiture after expiration of a 30-day public comment period. Public comments may be submitted until July 6, 2015. Written comments should be sent to: FTC Office of the Secretary, 600 Pennsylvania Ave., N.W., Washington, DC 20580. Comments can also be filed electronically. (FTC File No. 141 0235, Docket No. C-4520; the staff contact is Roberta Baruch, Bureau of Competition, 202-326-2861)
The FTC’s Bureau of Competition works with the Bureau of Economics to investigate alleged anticompetitive business practices and, when appropriate, recommends that the Commission take law enforcement action. To inform the Bureau about particular business practices, call 202-326-3300, send an e-mail to antitrust{at}ftc{dot}gov, or write to the Office of Policy and Coordination, Bureau of Competition, Federal Trade Commission, 600 Pennsylvania Ave., NW, Room CC-5422, Washington, DC 20580.
