South Africa’s Competition Commission has referred a case to the Competition Tribunal alleging that a group of international shipping lines colluded to fix freight rates on routes serving the country’s main ports. The Commission said it uncovered evidence of long-running coordination affecting automotive and containerised cargo.

The Commission said eight cargo shipping companies were involved in a scheme that charged the same rate increases on routes between Shanghai, Ningbo, and Shekou in China and Durban; between Durban and Hong Kong; and between Qingdao in China and Durban, from 2008 to 2018. It said routes between South Africa and West Africa were also affected.

Named in the case are Pacific International Lines South Africa, Mitsui O.S.K. Lines South Africa (TSE:9104), Evergreen Agency South Africa (TWSE:2603), COSCO Shipping Lines South Africa (SSE:601919; HKEX:1919), K Line Shipping South Africa (TSE:9107) and CMA CGM Shipping Agencies South Africa.

Investigators claim the carriers engaged in cartel conduct prohibited under the Competition Act, including alleged coordination of rates, surcharges and tender responses on roll-on/roll-off (RoRo) and certain container trades. The Commission said the practices occurred largely outside South Africa but had direct effects on domestic import and export lanes.

“The dismantling of the cartel will reduce the price of goods imported to South Africa for the benefit of consumers and will also reduce the costs of exports out of South Africa, which will, in turn, render the South African exports competitive in the world markets,” said Commissioner Doris Tshepe of the competition watchdog.

The alleged behaviour is said to date back several years, though the Commission did not publicly disclose the full timeline. Some carriers are reported to have approached authorities under the leniency programme, which allows reduced penalties in exchange for cooperation. The Commission noted that no findings of liability have yet been made.

The case mirrors international enforcement actions. Regulators in the EU, US, Japan and South Korea have previously fined RoRo carriers for price-fixing in vehicle-transport markets. South Africa’s referral covers routes used for automotive exports and manufactured imports through Durban, Gqeberha and East London.

South Africa’s automotive industry, responsible for about 14% of national manufacturing output, relies heavily on RoRo shipping for exports to Europe and Asia. The Commission said any artificial inflation in shipping costs would undermine the competitiveness of local producers, though it did not quantify potential impacts.

The referral comes as South Africa undertakes a broader reform of the freight logistics system. Port congestion, rail bottlenecks and declining performance at state operator Transnet have raised logistics costs, prompting a government-led market inquiry into port, rail and road-freight efficiency.

The Tribunal will review the Commission’s evidence and determine whether penalties — potentially up to 10% of annual turnover for first-time cartel offences — are warranted. The implicated shipping lines have not publicly commented on the allegations.