The State Administration for Industry and Commerce has fined packaging giant Tetra Pak 668 million yuan ($97 million) for breaking anti-monopoly laws and abusing its monopolistic market position.
Tetra Pak was found to have broken anti-monopoly regulations such as abusing its monopolistic status to force customers to purchase packaging materials and sterile packaging equipment and services, SAIC said in a statement yesterday.
The firm also barred other packaging raw material suppliers from providing materials to its rivals, which has hurt fair competition in the packaging materials market, it added.
During more than four years of investigation, SAIC interviewed relevant parties, conducted on-site investigations, and checked records and digital evidence.
Tetra Pak has decided not to appeal, Steve Yin, president of Tetra Pak China, said in an e-mail statement.
“We will take action as necessary to ensure compliance with the legislation,” the statement added.
China has been stepping up efforts to crack down on violations against the Anti-Monopoly Law in recent years and has fined several multinational corporations.
To summarize the above article Tetra Pak, a major firm in the packaging business (carton packaging) was fined for restrictive practices by abusing its position as the leading firm in its respective market. These restrictive practices include forcing customers to purchase packagin materials and restricting the supply of raw materials to Tetra Pak’s competitors. Tetra Pak has been fined 668 million RMB ($97 million USD) as a result of this.