How the industry lost on block exemption.

De Saint-Seine, Sylviane; Wernle, Bradford

Auto industry lobbyists now figure they made a strategic blunder in late 2000 that cost carmakers their cherished block exemption.

A surprisingly well-organized European consumer movement, primed for battle, delivered a knockout blow around that time. But it took almost two years for the auto industry to feel the concussion. By then it was too late.

In fact, the auto industry hardly seemed to put up a fight, according to its opponents. Maybe it was because its chief lobbyist was seriously ill or maybe because Europe's carmakers took so long to agree on a strategy.

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