The Korea Fair Trade Commission has launched an investigation to look into collusion allegations involving five companies, including KCC, Noroo Paint, Samhwa Paint Industrial, Kangnam Jevisco, and Chokwang Paint, according to reports on the 30th.
According to the industry that day, the Korea Fair Trade Commission (FTC) has dispatched a Researcher to the offices of the industry association Korea Paint and Printing Ink Industry Cooperative, in addition to the five paint companies, and is under investigation on site.
KCC will raise prices for products supplied to dealerships by 10%–40% starting on the 6th of next month. Noroo Paint and Samhwa Paint Industrial have increased product prices by 20%–55% since on the 23rd. Kangnam Jevisco also said it will raise product prices by at least 15% starting next month.
As companies have recently raised product prices all at once, the Korea Fair Trade Commission (FTC) is said to be examining whether there was collusion in the process. Under the Monopoly Regulation and Fair Trade Act, it is prohibited for a business operator to unjustifiably change prices jointly with another business operator.
An official at the Korea Fair Trade Commission (FTC) said, "We cannot confirm individual cases."