Local media reported that South Korea’s The Fair Trade Commission has started a procedure to levy at least KWR 120 billion (USD 100 million) combined in fines on Hyundai Steel, Dongkuk Steel, KISCO and nine other companies. Six steelmakers and another six rolling mill operators are suspected of having colluded between 2012 and 2016 for price-fixing during their bids to supply rebar to the central and regional governments. A representative from the FTC's bid rigging investigation division said "We sent a report on our investigation to those companies on December 9. The companies are allowed to submit their written opinions in response to our report until March. After reviewing their opinions, our agency will hold a meeting of commissioners, although the date for the meeting has not been fixed yet."Data from the Public Procurement Service showed that the central and regional governments had purchased rebar collectively worth 4.15 trillion won between 2012 and 2016.Once the FTC finalizes the sanction, the companies may be excluded from bidding for public projects. They can also face lawsuits from the central and regional governments.When Hyundai Steel, Dongkuk Steel, KISCO and three other steelmakers were found in 2018 to have colluded between May 2015 and December 2016 to have limited the discount rates of rebar sold in the private sector, five of them were referred to prosecutors' office and all of them were slapped with fines equivalent to 3% of their sales during the period.
Local media reported that South Korea’s The Fair Trade Commission has started a procedure to levy at least KWR 120 billion (USD 100 million) combined in fines on Hyundai Steel, Dongkuk Steel, KISCO and nine other companies. Six steelmakers and another six rolling mill operators are suspected of having colluded between 2012 and 2016 for price-fixing during their bids to supply rebar to the central and regional governments. A representative from the FTC's bid rigging investigation division said "We sent a report on our investigation to those companies on December 9. The companies are allowed to submit their written opinions in response to our report until March. After reviewing their opinions, our agency will hold a meeting of commissioners, although the date for the meeting has not been fixed yet."Data from the Public Procurement Service showed that the central and regional governments had purchased rebar collectively worth 4.15 trillion won between 2012 and 2016.Once the FTC finalizes the sanction, the companies may be excluded from bidding for public projects. They can also face lawsuits from the central and regional governments.When Hyundai Steel, Dongkuk Steel, KISCO and three other steelmakers were found in 2018 to have colluded between May 2015 and December 2016 to have limited the discount rates of rebar sold in the private sector, five of them were referred to prosecutors' office and all of them were slapped with fines equivalent to 3% of their sales during the period.
