January 2024
Frontpage
Anticompetitive conducts
Competition advocacy
Recommended reading
FRONTPAGE
North American antitrust authorities reaffirm the importance of economic competition to promote the welfare of the region
North American antitrust authorities reaffirm the importance of economic competition to promote the welfare of the region
The heads of the Federal Economic Competition Commission of Mexico (Cofece or Commission), the Competition Bureau of Canada, the Federal Trade Commission (FTC), and the Antitrust Division of the Department of Justice (DOJ), both from the United States, met to discuss the main advances and opportunities for trilateral cooperation in competition policy and its enforcement in the region. They also discussed shared visions, joint strategies, and the tools at their disposal to address the challenges posed by various markets.
ANTICOMPETITIVE CONDUCTS
Cofece investigates alleged barriers to competition in the public rail freight transport service market
The Investigative Authority (IA) of the Commission published in the Federal Official Gazette the initiation of an investigation to identify and, if it is the case, determine the probable existence of barriers to competition and free market access, as well as possible essential facilities in the public rail freight transport service market and its related services. This service represents a mode of transportation with potential for nearshoring, as it stands out that in 2022, 73.2% of foreign trade cargo was moved across borders, and the remaining 26.8% through ports.
The Investigative Authority (IA) of the Commission published in the Federal Official Gazette the initiation of an investigation to identify and, if it is the case, determine the probable existence of barriers to competition and free market access, as well as possible essential facilities in the public rail freight transport service market and its related services. This service represents a mode of transportation with potential for nearshoring, as it stands out that in 2022, 73.2% of foreign trade cargo was moved across borders, and the remaining 26.8% through ports.
Cofece notifies a statement of probable responsibility for an alleged collusion in the non-residential real estate leasing market
Cofece notified companies and natural persons with a statement of probable responsibility for allegedly manipulating prices in the market of leasing of non-residential real estate spaces in the national territory. These conducts, known as absolute monopolistic practices and are prohibited in accordance with article 53 of the Federal Economic Competition Law (LFCE by its initials in Spanish), for which they were charged in the statement of probable responsibility issued by the Investigative Authority of Cofece. The real estate sector is one of the priority sectors on which Cofece continues to focus its efforts due to its growing relevance in the economy and the benefits it represents for Mexicans.
Cofece notified companies and natural persons with a statement of probable responsibility for allegedly manipulating prices in the market of leasing of non-residential real estate spaces in the national territory. These conducts, known as absolute monopolistic practices and are prohibited in accordance with article 53 of the Federal Economic Competition Law (LFCE by its initials in Spanish), for which they were charged in the statement of probable responsibility issued by the Investigative Authority of Cofece. The real estate sector is one of the priority sectors on which Cofece continues to focus its efforts due to its growing relevance in the economy and the benefits it represents for Mexicans.
COMPETITION ADVOCACY
Cofece presents a commemorative book for its 10th anniversary and 30 years of the Federal Economic Competition Law
The Commission presented the book “La política de competencia económica en México: retrospective, balances y retos” [Economic competition policy in Mexico: retrospective, balances and challenges], prepared in the context of the celebration of the 10th anniversary of the creation of Cofece as an autonomous constitutional body and the 30th anniversary of the entry into force of the first Federal Economic Competition Law (LFCE per its initials in Spanish).
This commemorative book presents the opinions and analyses of various actors that allow for a plurality of views on the institutional design of the Commission and the implementation of the competition law, as well as the reforms that have accompanied it for three decades.
Economic competition policy contributes directly to other public policies and its impact goes beyond the proper functioning of markets; it is a tool that allows boosting the economy and benefiting the population.
The Commission presented the book “La política de competencia económica en México: retrospective, balances y retos” [Economic competition policy in Mexico: retrospective, balances and challenges], prepared in the context of the celebration of the 10th anniversary of the creation of Cofece as an autonomous constitutional body and the 30th anniversary of the entry into force of the first Federal Economic Competition Law (LFCE per its initials in Spanish).
This commemorative book presents the opinions and analyses of various actors that allow for a plurality of views on the institutional design of the Commission and the implementation of the competition law, as well as the reforms that have accompanied it for three decades.
Economic competition policy contributes directly to other public policies and its impact goes beyond the proper functioning of markets; it is a tool that allows boosting the economy and benefiting the population.
RECOMMENDED READING
Fourth Quarterly Report 2023
The Fourth Quarterly Report describes Cofece’s activities from October 1 to December 31. This report includes an article that addresses the importance of nearshoring in boosting investment and economic development in Mexico, as well as the role of Cofece as an ally in its implementation, expansion, and use of its benefits.
Chapter 1 accounts for the actions taken to prevent and correct market structures that hinder, damage, or impede competition and free market access.
Chapter 2 reports on activities related to prosecuting and deterring anticompetitive practices that affect markets. Chapter 3 reports on the work carried out by the Commission to promote and disseminate the principles of economic competition and its benefits.
Chapter 4 reports on Cofece's efforts to consolidate a robust and cutting-edge organizational model. Finally, Chapter 5 accounts for the follow-up of the 14 strategic actions defined in the Annual Work Program (PAT by its initials in Spanish) 2023.
BY THE NUMBERS
BY THE NUMBERS
In January, the Commission processed 102 matters, of which 47 were related to concentrations, 31 to procedures for monopolistic practices and unlawful concentrations, 6 to special procedures, and 18 to opinions on bidding processes, concessions, or permits.
Complaints, investigations, and trial-like procedures
- 2 complaints for anticompetitive conducts were received, which were added to the 4 pending from the previous period. Of these, 1 was dismissed and 1 was deemed as not filed, at the end of the period 4 complaints remain under analysis.
- Follow-up was given to 16 investigations for monopolistic practices pending at the beginning of the period. 1 trial-like procedure was initiated for probable monopolistic practices in the non-residential real estate leasing market.
- The initiated process was added to the 8 pending at the beginning of the period.
- Follow-up was given to 4 procedures to determine the existence of essential facilities and barriers to entry and to the investigation stage of a procedure to resolve the conditions of the maritime transport of cargo and passengers market in Baja California Sur.
Concentrations
- 47 concentrations were analyzed, 11 of which were initiated during the period. Of these, 9 were authorized, thus, at the end of January, 38 mergers are still under analysis.1
- The amount of authorized transactions is 189,393.2 million Mexican pesos.
Amparo trials
- During January, the Judicial Power dismissed 11 Amparo trials.2
- At the end of the period, 397 trials were still in process, of which 351 corresponded to economic competition matters.
1. The files of the authorized concentrations are: CNT-113-2023 (Cofica Bail / Cetelem, S.A. de C.V. / Banco Inbursa S.A. Institución de Banca Múltiple, Grupo Financiero Inbursa), CNT-116-2023, CNT-119-2023, CNT-127-2023 (WT Microelectronics Co., Ltd. / Future Electronic Inc. / Alomin Investments Inc.), CNT-128-2023 (Swoctem Gmbh / Klockner & Co SE), CNT-131-2023 (Tortuga Resorts UK Limited / Residencial Punta Venado, S.A. de C.V. / Natural person), CNT-135-2023 (Tenex Capital, S.A.P.I. de C.V. / LCLA3 Coin Spainco, S.L.U. / Crediclub, S.A. de C.V., S.F.P.), CNT-138-2023 (Six Flags Entertainment Corporation / Cedar Fair, L.P.) y CNT-139-2023 (Inversionistas Profesionales del Agua, S.A. de C.V. / Banco Invex, S.A., Institución de Banca Múltiple, Invex Grupo Financiero / Banco Monex, S.A., Institución de Banca Múltiple, Monex Grupo Financiero).
Cofece impulsa la política de competencia con convenio de colaboración con la CONCANACO SERVYTUR