ACCC institutes proceedings against Japan Airlines International Co., Ltd. for alleged price fixing of air freight

17 May 2010

The Australian Competition and Consumer Commission instituted proceedings in the Federal Court today against Japan Airlines International Co., Ltd.

Japan Airlines International Co., Ltd. is the fourteenth airline to be the subject of ACCC proceedings for alleged price fixing in the air cargo industry.

The ACCC alleges that between 2002 and 2006, Japan Airlines International Co., Ltd. entered into arrangements or understandings with other international air cargo carriers that had the purpose or effect of fixing the price of a fuel surcharge and a security surcharge that were applied to air cargo carried by them and other airlines.

The ACCC alleges that arrangements or understandings were reached in Singapore, Hong Kong and Japan for fuel surcharges applied to cargo originating in those countries. The ACCC also alleges arrangements or understandings were reached in Singapore and Hong Kong for a security surcharge applied to cargo originating in those countries.

The ACCC is seeking declarations, injunctive relief, pecuniary penalties, and costs.

A directions hearing has been set down for 10 June 2010 before Justice Jacobson in the Federal Court, Sydney.

Proceedings have also been instituted against Singapore Airlines Cargo Pte Ltd, Cathay Pacific Airways Ltd, Emirates, PT Garuda Indonesia Ltd, Thai Airways International Public Company Limited, Korean Air Lines Co. Ltd, Malaysian Airline System Berhad and its wholly-owned cargo subsidiary Malaysia Airlines Cargo Sdn Bhd and Air New Zealand Limited.

Release number: 
NR 105/10
ACCC Infocentre: 

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