FAS Russia fined five major container carriers for cartel activities

Container carriers cartelThe Russian Federal Antimonopoly Service fined five major container carriers for cartel activities by 1.5 billion rubles. The the end of 2015, FAS Russia found the largest container carriers Maersk Line, CMA CGM, Hyundai Merchant Marine, Orient Overseas Container Line (OOCL) and Evergreen in conflict with the law on protection of competition. The companies were accused by actions that led to the establishment of allowances for freight rates in the market of container transportation on the line towards the Far East (South-East Asia to the Russian Federation port of St Petersburg and Ust-Luga) in period 2012-2013.

The Russian Federal Antimonopoly Service found that in 2012-2013 after information for the General Rate Increase published on the website of one of the carriers, was followed by same increase of the rest of the lines.

“After the next lower rates of freight carriers again relatively synchronously and uniformly set GRI supplement for the purpose of increasing or maintaining prices”, said the officials statement of FAS Russia. “The penalty for Maersk Line is 0.722 billion rubles, while the total penalty for all the carriers is 1.5 billion rubles”, adds the statement of the agency.

According to FAS, these actions have led to periodic price increases and have a negative effect for consumers and competitiveness on the market.