Korea's three major sugar producers, CJ CheilJedang, Samyang, and TS, have been fined a combined 408.2 billion won ($282 million) for colluding to fix sugar prices. The Fair Trade Commission (FTC) stated that the companies conspired on eight occasions from February 2021 to April 2025. This occurred while consumers were suffering from the COVID-19 pandemic's fallout.
The Fair Trade Commission announced on Thursday that it has fined Korea's major sugar producers CJ CheilJedang, Samyang, and TS 150 billion won, 130 billion won, and 127 billion won respectively for price collusion. This totals 408.2 billion won. According to the FTC, the companies conspired to fix sugar prices on eight occasions over about four years, from February 2021 to April 2025. The penalty is the second-largest ever imposed by the regulator in a collusion case.
The sugar industry is heavily regulated worldwide to shield domestic producers from volatile global prices. The FTC noted that the firms engaged in the illegal practice during a time when consumers were facing hardships from the COVID-19 pandemic. These hefty penalties come as the Lee Jae Myung administration intensifies efforts to tighten oversight on price-fixing practices.
Earlier this month, Lee praised prosecutors for indicting 52 executives on charges of price-fixing involving daily necessities such as flour, sugar, and electricity. Such actions reflect the government's recent push to enhance market fairness. Sugar products were displayed at a store in Seoul, as shown in accompanying photos.
