Furniture manufacturers and sellers including ENEX and HANSSEM were hit with a 25 billion won penalty surcharge and corrective orders by the Korea Fair Trade Commission.
The Korea Fair Trade Commission (FTC) said on the 29th that it caught 48 furniture manufacturers and sellers colluding in bids to supply built-in and system furniture for apartment complexes by agreeing in advance on the winning bidder or bid prices. Built-in furniture refers to items such as sinks and built-in closets supplied to construction companies in large-scale apartment building projects, while system furniture is made by placing wooden shelves on aluminum columns, with dress rooms and pantries as the main products.
According to the Korea Fair Trade Commission (FTC), from 2013 to 2022 the furniture manufacturers and sellers in question agreed on the prospective winner or bid prices in 333 tenders through meetings or phone calls. When the designated winner set and conveyed bid prices to other businesses, those businesses submitted bids based on those prices. The Korea Fair Trade Commission (FTC) viewed this as bid rigging and a collusive practice prohibited by the Monopoly Regulation and Fair Trade Act. By company, ENEX received the largest penalty surcharge at 5.8 billion won, followed by HANSSEM at 3.7 billion won, Hyundai LIVART at 3.7 billion won, and Nexis at 1.2 billion won.
The Korea Fair Trade Commission (FTC) said it will strengthen monitoring of collusion in areas closely tied to basic living needs such as food, clothing, and shelter, and impose stern sanctions when violations are found.