Korea’s antitrust regulator said Thursday it has decided to impose a combined fine of 256.5 billion won ($197.5 million) on the country’s No. 2 steelmaker, Hyundai Steel, and 10 other firms for fixing bidding prices.
Hyundai Steel, Dongkuk Steel Mill and nine others colluded to fix their quotations between 2012 and 2018 to bid on rebar contracts put forward by the state procurement agency, according to the Korea Fair Trade Commission (KFTC). The violations to the country’s antitrust laws could bring severe fines on the companies, as well as criminal prosecution of individuals directly responsible for crafting, implementing, or enforcing the agreement.
Read More: South Korea Fines 7 Local Steelmakers For Collusion
The price collusion helped the colluding companies post a combined revenue of 5.5 trillion won during the cited period, a significant profit that represents losses for consumers who covered the excessive prices. In response, the KFTC said it will closely monitor possible price-fixing practices in the raw materials and intermediary goods market, and take stern actions against anti-competition activities.
The commission was able to take stern actions against the steelmakers’ cartel thanks to information provided by a whistleblower, who provided detailed evidence about their price collusion. The informant received a reward of 1.75 billion won (US$1.5 million) last year, as the KFTC continues to promote the importance of informants to break down cases of collusion.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
EU Conducts First-Ever Raids on a Company Under Foreign Subsidies Regulation
Apr 23, 2024 by
CPI
FTC Moves to Ban Non-Compete Agreements, Aiming to Boost Labor Mobility
Apr 23, 2024 by
CPI
Federal Judge Nods at $418M Deal in Real Estate Antitrust Suit
Apr 23, 2024 by
CPI
Mexican Watchdog Probes Amazon and Mercado Libre Over Loyalty Bundles
Apr 23, 2024 by
CPI
Competition Commission of India to Probe AI Landscape for Competition
Apr 23, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI