South Africa’s Competition Commission has referred a price-fixing complaint against eight major container lines to the country’s Competition Tribunal, alleging collusion over general rate increases (GRIs) on trades between Asia and southern and western Africa.
The case targets the local units of Mediterranean Shipping Co, Maersk, CMA CGM, Pacific International Lines, Evergreen, COSCO, Mitsui OSK Lines (MOL) and Kawasaki Kisen Kaisha (K Line) — although both MOL and K Line ceased to exist as independent container carriers after forming part of Ocean Network Express (ONE) in 2017.
According to the commission, the companies “allegedly fixed the general rate increase charged to customers for shipping cargo between South Africa and Asia and between the nation and the western part of Africa from 2008 to 2018, in contravention of domestic antitrust laws”.
“The dismantling of the cartel will reduce the price of goods imported to South Africa for the benefit of consumers and will also reduce the costs of exports out of South Africa, which will, in turn, render the South African exports competitive in the world markets,” Commissioner Doris Tshepe said.
The commission said its investigation found that the shipping companies charged the same rate increase on multiple routes, including from Shanghai, Ningbo and Shekou to Durban, from Durban to Hong Kong, and from Qingdao to Durban.
