The Singapore High Court has reinstated the Competition and Consumer Commission of Singapore’s (CCS) finding that two warehouse operators, CNL Logistic Solutions Pte Ltd and Gilmon Transportation & Warehousing Pte Ltd, infringed the Competition Act 2004 by exchanging pricing intentions. This decision overturns a previous ruling by the Competition Appeal Board (CAB) and highlights the importance of independent pricing strategies in business.
CNL and Gilmon, operating at Keppel Distripark, were found to have communicated with other warehouse operators in June 2017 about imposing an “FTZ Surcharge” at a uniform rate. This information was then used in customer negotiations, leading to a collective imposition of the surcharge. CCS’s investigation resulted in financial penalties totalling S$2.8m for the involved parties.
The CAB had initially allowed an appeal by CNL and Gilmon in July 2025, citing insufficient consideration of their market share. However, the High Court’s recent decision on 30 June 2026 rejected this argument, affirming that the exchange of pricing strategies was not a mere casual conversation but a deliberate act to influence market conditions.
CCS Chief Executive Alvin Koh emphasised the ruling as a crucial reminder for businesses to independently determine their pricing. “Businesses should not coordinate with competitors or exchange confidential information about future prices or pricing intentions,” he stated.
The judgement serves as a warning that even companies with smaller market shares can face significant penalties for anti-competitive conduct. Businesses are advised to ensure their employees understand the legal boundaries of information exchange with competitors.
