The Competition Commission of Pakistan (CCP) has issued a landmark decision, imposing a massive Rs. 1.5 billion fine on two of the country’s leading steel producers — Aisha Steel Mills Ltd (ASML) and International Steels Ltd (ISL) — for price-fixing and cartelization.
Following an extensive investigation, the CCP revealed that both companies had been coordinating their pricing strategies, resulting in a 111% surge in flat steel prices from 2020 to 2023. This artificial increase placed heavy financial pressure on local industries and consumers, violating the Competition Act 2010.
The inquiry found that both ASML and ISL made identical price adjustments within brief timeframes, supported by evidence from internal communications and market records, which confirmed collusion at the executive level. The CCP determined that this behavior disrupted fair market competition and operated as a cartel rather than independent entities.
As part of the ruling, Aisha Steel Mills has been fined Rs. 648 million, while International Steels faces a Rs. 914 million penalty, both due within 60 days. Non-compliance may lead to further sanctions or legal action.
The decision reinforces the CCP’s mission to safeguard consumer interests, promote market integrity, and send a strong message that price manipulation and collusion will not be tolerated in Pakistan’s corporate sector.
