CMA launches investigation into the supply of chemicals for use in construction industry

The CMA has launched an investigation into suspected anti-competitive conduct in relation to the supply of chemicals for use in the construction industry. 

The Competition and Markets Authority (CMA) has reason to suspect anti-competitive behaviour has taken place involving a number of suppliers of these chemicals and some industry bodies. This conduct relates to the supply of chemical admixtures and additives which are an essential input for products like concrete, mortars and cement used in the construction industry.  

The CMA is working closely with the European Commission, which has also launched an investigation into suspected anticompetitive conduct in the sector today. The CMA is also in contact with other authorities, including the United States Department of Justice, Antitrust Division. 

Following a period of investigation and information gathering, the CMA may issue a statement of objections if it comes to the provisional view that competition law has been infringed. However, not all cases proceed to a statement of objections, and at this stage no assumptions should be made about whether competition law has been broken.

This investigation reflects the CMA’s commitment – outlined in its Annual Plan 2023 to 2024 – to deter anti-competitive behaviour, so that competitive, fair-dealing businesses can innovate and thrive.

Further detail of the CMA’s procedures in competition cases is available in its guidance, and any updates to this investigation, will be made via the dedicated web page: Suspected anti-competitive conduct in relation to the supply of chemicals for use in construction industry.

Notes to editors

1. The competition legislation relevant to the CMA’s investigation is the Competition Act 1998. The Chapter I prohibition of the Competition Act 1998 prohibits agreements, concerted practices and decisions by associations of undertakings which have as their object or effect the prevention, restriction or distortion of competition within the UK or a part of it and which may affect trade within the UK or a part of it unless they are excluded or exempt.
2. The CMA will normally publish the names of the parties under investigation as soon as possible when a formal investigation is opened, other than in exceptional circumstances, such as where doing so could, in the CMA’s view, prejudice a CMA investigation or an investigation of one of the CMA’s enforcement partners. In this case, the CMA will not be naming the parties under investigation at this stage, but may do so at a later stage of the investigation, including if a statement of objections is issued.
3. There is no legal deadline to complete inquiries under the Competition Act 1998. As with all its work, the CMA will progress this investigation at pace whilst ensuring a robust and detailed review is conducted and parties’ rights of defence are respected.
4. Under the CMA’s leniency policy, a business that has been involved in certain types of anti-competitive conduct may be granted immunity from penalties or a significant reduction in penalty in return for reporting cartel activity and assisting the CMA with its investigation. Individuals involved in cartel activity may also be granted immunity from criminal prosecution for the cartel offence under the Enterprise Act 2002 and from director disqualification. The CMA also operates a rewards policy under which it may pay a financial reward of up to £250,000 in return for information which helps it to identify and take action against illegal cartels. For more information on the CMA’s leniency policy and the CMA’s informant reward policy.