On March 15, Russia's Federal Antimonopoly Service (FAS Russia) completed an investigation against four domestic producers of large diameter pipes (LDP).
In October 2011, the FAS had initiated a case against four Russian manufacturers of large diameter pipes: Pipe Metallurgical Company (TMK), United Metallurgical Company (OMK), Izhora Pipe Plant and Chelyabinsk Pipe Rolling Plant (ChTPZ). The FAS suspected the pipe producers of collusion and market sharing.
In the course of the investigation, the manufacturers presented evidence of acceptability of their conduct under Article 13 of the Federal Law ‘On Protection of Competition’. The prices of the domestic manufacturers are lower than the prices for similar products of foreign manufacturers.
" Taking into account positive social and economic factors, the commission found that the conduct of the market players could be allowed under Article 13 of the Federal Law ‘On Protection of Competition’. However, further refusals to compete in the market, or participation of pipe manufacturers in a competition-restricting agreement, will be considered by the antimonopoly body as a gross violation of Article 11 of the Federal Law ‘On Protection of Competition’ and, if such a violation is found, the violators will have fines imposed on their turnovers,” stated commission chairman and deputy head of FAS, André Tsarikovskiy.