Six cement producers in Brazil have been fined a combined US$934 million by the antitrust authority, CADE. The decision was announced on 29 July following an 8-year enquiry into price collusion by Votorantim Cimentos, Intercement Brasil, Itabira Agro Industrial, Cia de Cimentos Itambé, Holcim and Cimpor, which together hold about a 75% market share in cement and concrete. CADE first ruled on the case in May 2014; this week saw the appeal hearing and the decision remained unchanged.
In addition to the fine, the cement producers have also been ordered to sell off assets within the next year to reduce their market share. Sanctions were also imposed on industry associations Abesc, ABCP and SNIC.
Following the announcement, Cimpor issued a statement saying that it will appeal the decision on the basis that it is ‘firmly convinced that no infraction was committed by either InterCement Brasil or Cimpor Brasil’, both of which are merged as InterCement Brasil.
Edited from various sources by Katherine Guenioui
Read the article online at: https://www.worldcement.com/the-americas/31072015/brazilian-antitrust-authority-upholds-cement-decision-245/
You might also like
The company's operating result has risen to a record level – group revenue is at €21.2 billion (+4%), with the result from current operations (RCO) at €3.0 billion (+29%).