The European Commission (EC) on Tuesday fined luxury fashion brands Gucci, Chloe, and Loewe a total of over €157 million for violating competition rules, LETA reported citing AFP.
In April 2023, the EC conducted inspections at these companies, and in July of the previous year, it began an official investigation.
The Commission stated that it decided to impose fines because these three brands restricted the ability of independent retailers they worked with to set their own retail prices.
The EC explains that such anti-competitive practices lead to higher prices and reduced choices for consumers.
The Italian brand Gucci was fined €119.7 million for violations from April 2015 to April 2023. The French Chloe must pay a fine of €19.7 million for violations committed from December 2019 to April 2023. The Spanish Loewe was fined €18 million for similar actions from December 2015 to April 2023.
The EC notes that the companies interfered with the commercial strategies of retailers, including forcing them to adhere to maximum discount levels and specific sale periods.
In some cases, these brands temporarily prohibited offering any discounts to customers. All three companies acted independently of one another.
All brands acknowledged the violations and cooperated with the EC during the investigation.
