Europe’s top court upholds major air cargo cartel fines

The European Court of Justice (ECJ) has largely rejected appeals by several major airlines seeking to overturn antitrust fines totaling more than €770 million tied to a long-running air cargo price-fixing cartel case.

The court rejected 12 of 13 appeals, with only SAS securing a reduction due to a miscalculation. SAS’ fine was reduced to €62.8 million from €70 million.

The largest penalties include:
• Air France: €182.9 million
• KLM: €127.1 million
• British Airways: €104 million

The Luxembourg-based court said it rejected arguments challenging the European Commission’s jurisdiction to penalize the cartel with respect to airfreight services from third countries into the EU or the European Economic Area.

The case dates to 2010, when 11 airlines were fined €799 million for coordinating pricing elements — particularly fuel and security surcharges — over more than six years, from December 1999 to February 2006.

Airlines originally named by the Commission included Air Canada, Air France-KLM, British Airways, Cathay Pacific, Cargolux, Japan Airlines, LAN Chile, Martinair, SAS, Singapore Airlines and Qantas.

Lufthansa and its subsidiary Swiss received full immunity under the Commission’s leniency program for being the first to provide information about the cartel.

In 2015, the EU General Court annulled the fines due to a procedural error. That annulment was overturned in 2017, reinstating the penalties. Further appeals led to a 2022 General Court decision dismissing some challenges while reducing certain fines. This week’s ECJ ruling effectively closes the latest chapter in the long-running litigation.

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