EC Investigates Air Freight Forwarders for Price Fixing
The European Commission has notified a number of air freight forwarders that an investigation is underway into their alleged participation in price-fixing cartels in violation of European Union antitrust rules1.
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(Freight forwarding consists of organizing the transport of goods along with related activities such as customs clearance, warehousing and ground services. The freight forwarding business has been segmented into domestic and international freight forwarding and freight forwarding by air, land and sea. The case concerns only the provision of freight forwarding services by air.)
Allegations Concern Infringements in Four Trade Lanes to or from Europe
The allegations concern four separate infringements involving the provision of air freight forwarding services from the United Kingdom to outside the European Economic Area (EEA), from the EEA to the U.S., from China to the EEA and from Southern China/Hong Kong to the EEA.
EC Investigating Price Fixing on Various Surcharges
The EC is investigating allegations that these companies fixed prices by colluding on the imposition, level, timing and application of various surcharges.
Surprise Inspections Carried Out in October 2007
Surprise inspections were carried out by the EC in October 2007 at the premises of various providers of international freight forwarding services.
(Air freight forwarders were notified by a Statement of Objection, which is a formal step in EC antitrust investigations in which the EC informs the parties concerned in writing of the objections raised against them. The parties may respond in writing and/or request an oral hearing to present their comments on the case.
The EC may then make a decision on whether the conduct addressed in the Statement of Objections is compatible or not with the EU antitrust rules. Sending a Statement of Objections does not prejudge the final outcome of the procedure.)
1Article 101 of the Treaty on the Functioning of the European Union - TFEU - and Article 53 of the Agreement on the European Economic Area.
EC press release (dated 02/10/10) available at http://europa.eu/rapid/pressReleasesAction.do?reference=IP/10/149&format=HTML&aged=0&language=EN&guiLanguage=en