MFC Container Solutions

South Korea has opened an antitrust investigation into four of the world’s largest container manufacturers, expanding regulatory pressure on companies already facing criminal and civil proceedings in the United States over alleged price-fixing during the pandemic.

The Korea Fair Trade Commission (KFTC) is investigating Singapore-based Singamas and Chinese manufacturers China International Marine Containers (CIMC), Dong Fang International Containers and CXIC over allegations that they manipulated container supply to inflate prices between 2019 and 2024. The four companies account for an estimated 95% of global production of standard dry freight containers.

The South Korean probe follows a high-profile US Department of Justice case filed earlier this year, which alleges senior executives from the four manufacturers conspired to restrict container production after meeting at CIMC’s headquarters in Shenzhen in November 2019. US prosecutors claim the alleged cartel artificially drove up container prices during the pandemic-era supply chain crisis, causing an estimated $35bn in global trade damages.

The US proceedings have also prompted private litigation. California-based shipper C.A. Spalding Company has filed a civil lawsuit in Oakland, claiming it was forced to pay inflated prices for containers between 2019 and 2021 and seeking unspecified damages.

Both Singamas and CIMC have said they will continue normal operations while cooperating with the investigations.

Source: splash247.com