Japan's FTC suspects PE sheet price conspiracy: raids offices of 4 companies

28-Jul-08

Japan's Fair Trade Commission has conducted raids on the offices of 4 companies, suspecting them of conspiring to increase the price of polyethylene sheet used in insulation materials. The 4 companies, Toray Industries Inc., Sekisui Chemical Co., Furukawa Electric Co. and Hitachi Chemical Co. are suspected to have violated the Antimonopoly Law, by forming a cartel from April 2004 to around 2006 to prop up prices of polyethylene sheet used in insulation materials. Junior managers and sales officials from the four companies are believed to have met before announcing the price hikes to decide on their timing and to set a common goal of hiking prices for highly formed polyethylene sheet by 8- 10%. Foamed polyethylene is a petrochemical resin used in construction materials.