Plastic raw materials teamed up to raise prices of 18 PVC plastic raw materials enterprises to eat the domestic antitrust fines
Click： Time：2017-09-20 11:26:22
People who have renovated their homes know a material called "PVC", many pipes and plates are made of PVC. In addition, PVC is also widely used in wire and cable, packaging materials and other fields. However, in recent times, the market has seen a substantial increase in the price of PVC, this phenomenon is the law of the market or behind someone malicious price gouging?
Yesterday, the National Development and Reform Commission of the domestic 18 polyvinyl chloride resin "PVC" production and management enterprises to implement the illegal behavior of price monopoly to make penalties.
Polyvinyl chloride resin "PVC" is the main raw material for the production of wires and cables, agricultural films, and various packaging materials, and is widely used in construction and building materials, medical equipment, household appliances, express delivery and other industries.
It was found that the 18 enterprises involved in the case had, since March 2016, reached and implemented a monopoly agreement to increase prices uniformly by means of WeChat group exchanges and meetings. This behavior violated China's Anti-Monopoly Law, resulting in a price increase of more than 40% in less than half a year in the domestic "PVC" market, seriously disrupting the order of market competition and increasing the cost of downstream enterprises.
In accordance with the law, the antimonopoly department of the National Development and Reform Commission imposed a fine of 2% of the relevant market sales in 2016 on the leading companies, Hubei Yihua Group Limited Liability Company and China Salt Jilantai Salt Chemical Group Co. Ltd. and imposed a fine of 1% of the relevant market sales for the year 2016 on the 16 enterprises involved in the subordinate position, totaling a fine of RMB 457 million for the above 18 enterprises involved in the case. This is the implementation of China's Anti-Monopoly Law for nine years, the anti-monopoly department of the domestic enterprises issued a large fine, involved in the case of 18 enterprises, across 11 provinces and autonomous regions, the type of enterprises, including the central government, state-owned enterprises and private enterprises.
Price hike agreement brewing in WeChat group
At the end of 2016, the National Development and Reform Commission received reports from downstream industry associations and enterprises reflecting abnormal increases in the price of "PVC" raw materials, and the antitrust authorities immediately launched an enforcement investigation. At the initial stage of the investigation, it was found that 18 PVC producers held several meetings in the name of "Northwest Chlor-Alkali Consortium" between March and December last year.
National Development and Reform Commission Antimonopoly Bureau of the Second Division Zeng Chuan:
From the data we retrieved can be seen, "PVC" market price from March last year after the dramatic fluctuations, from five thousand dollars in March all the way up to the end of last year in December of more than 7,000 nearly eight thousand dollars, and the enterprises involved in the meeting time is highly coincidental.
Although the data is highly consistent, but the case officers in the investigation process did not find any agreement on the agreement to increase the price of the paper agreement, the relevant person in charge of the enterprise also denied that they had agreed to increase prices, no core evidence, the investigation into the state of stalemate.
The antitrust department of the NDRC decided to send a number of case officers to 11 provinces and regions, and at the same time, the 18 enterprises to conduct in-depth forensics, in the case almost reached a stalemate, the case officers in an enterprise responsible for the establishment of the WeChat group found clues.
Zeng Chuan, Antimonopoly Division 2, Antimonopoly Bureau, National Development and Reform Commission:
WeChat group participants are the relevant person in charge of each of the enterprises involved in the case, they exchange price information in the WeChat group, said today you increase how much tomorrow I increase how much, or we, the 18 enterprises, in the next week jointly increase how much. Some of the enterprises involved in the case even suggested that the group group name changed to "concerted action price adjustment group", which is very obvious to reveal the purpose of the price they want to adjust.
Case officers told reporters that the WeChat group of enterprises announced the price implementation table proposed price increases, other enterprises involved in the case have responded positively to express support, before the proposal, after the response, which formed a very complete horizontal price monopoly agreement.
China University of Political Science and Law Vice President Shi Jianzhong pointed out that, for horizontal monopoly agreement, the general view that as long as there are two or more competitors, which should have been competitive, if a price restriction to limit the number of agreements to limit the market, it constitutes a horizontal monopoly agreement.
Monopoly production of more than 70% of who does not implement the penalty who
Jointly push up the "PVC" market price of the 18 enterprises involved in the common goal, and how to ensure that the price of the concerted action, led by the dominant enterprise is also painstaking, not only to divide the sales area, set the product sales of low limit price standard, but also warned the other enterprises, who do not implement the penalty who.
National Development and Reform Commission Antimonopoly Bureau, Division II Zeng Chuan:
The production of the enterprises involved accounted for 3/4 of the total national production, so these 18 enterprises have a very strong dominant market power. So once they increase prices
