The EU’s European Commission has accused French car maker Peugeot of breaching European Union competition rules by discouraging consumers from buying its cars more cheaply outside their home country.

The EU executive said PSA Peugeot Citroen had denied full bonuses to dealers in Germany and the Netherlands who sold cars at a discount to customers from other European countries.

“The trade to the end-consumer … allegedly is impeded because the full bonus is only given for those cars where it can be proven that they are registered in the dealers’ allocated territory,” Commission spokesman Tilman Lueder said.

Peugeot denied breaking EU antitrust rules and said it would send Brussels a full response.

The Commission has been investigating sales practices at Peugeot for years. It raided the firm in 1999 and 2003, Reuters said.

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The Commission is also investigating complaints about BMW, amid allegations that the firm discourages dealers from displaying other brands in their showrooms alongside BMW cars – a practice that also breaches EU rules – Reuters said.