The European Commission has announced that it has initiated antitrust proceedings against several manufacturers of construction chemicals, as well as trade associations in Germany, France and Spain. The companies and associations concerned have received a Statement of Objections (SO). The SO is comparable to an indictment in criminal proceedings: it sets out the Commission’s preliminary assessment and provides the Parties with an opportunity to respond to the allegations.
The wording of the Commission’s press release is particularly noteworthy. According to the Commission, rising input costs following the COVID-19 pandemic and Russia’s war against Ukraine may have prompted the manufacturers to engage in anti-competitive conduct. They are alleged to have coordinated future price increases for additives and admixtures. The suspected contacts are said to have taken place in the context of discussions within national trade associations on the drafting of press releases. In the Commission’s preliminary view, these press releases were intended to justify price increases to the market. Whether these allegations will ultimately be substantiated remains to be seen.
Irrespective of the outcome of the proceedings, the case deserves close attention. It illustrates that even activities that may appear routine in the day-to-day work of trade associations – such as jointly preparing press releases – can, in certain circumstances, give rise to competition law concerns.
For trade associations, the case highlights the importance of effective competition compliance. Compliance programmes should cover all aspects of an association’s activities, including its communications. Where public statements are prepared or coordinated jointly, both their content and the process leading to their adoption should be carefully reviewed from a competition law perspective. A robust compliance framework can help to identify and mitigate unnecessary legal risks.