Brazil’s Administrative Council for Economic Defense (CADE) has fined (27 November) the Union of Independent Container and General Cargo Transporters of Itajaí and Region (Sintracon/SC) R$100,000 (USD 17,206) for engaging in illegal price-fixing practices.
Sintracon/SC was found to have violated competition laws by publishing price tables for road freight services, influencing market prices among independent transporters. Although the tables were not legally binding, CADE determined they facilitated uniform pricing, suppressing competition in the sector.
The investigation began in March 2018 after Sintracon/SC and the Union of Cargo and Logistics Vehicle Companies of Itajaí and Region (Seveiculos) sought guidance on establishing minimum freight prices. CADE had previously warned that such tables would harm competition, but the unions continued publishing suggested price lists on their websites.
According to the case’s rapporteur, Victor Fernandes, the dissemination of price tables pressures competitors to align their prices, undermining competitive dynamics. “Even without explicit mandates, there is an expectation that competitors adhere to the suggested prices, discouraging lower pricing strategies and limiting market competition,” he explained.
CADE’s decision includes an order for Sintracon/SC to remove all references to the price tables from its websites. This ruling underscores CADE’s commitment to protecting fair competition in the transportation sector.
