Walmart Mexico fined $4.6 million for suspected market monopoly, antitrust review continues

The Federal Economic Competition Commission (COFECE) of Mexico recently announced that it has fined Wal-Mart de Mexico (Walmex) 93 million pesos (about 4.6 million U.S. dollars) for alleged monopolistic behavior in its cooperation with suppliers. The fine was imposed after a four-year antitrust investigation by COFECE.

According to reports, the antitrust investigation began in 2019, when Walmart Mexico was accused of working with suppliers in an unfair manner, forcing certain food suppliers to withdraw products from competitors (such as Amazon). In addition, COFECE also conducted a detailed review of the prices and contract terms between Walmart and its suppliers.

Walmart Mexico said that although the company faces a fine, the amount is only a small part of the company's revenue, and it has filed an objection, arguing that COFECE's ruling is legally flawed. The company stressed that Walmart Mexico has negotiated other terms with suppliers and is consistent with market practices, which ultimately benefits consumers.

The ruling was issued at a time when the Mexican Congress was considering a new bill that plans to transfer antitrust regulatory functions to the Ministry of Economy, which makes the implementation of COFECE's rulings face greater uncertainty.

Walmart Mexico currently stated that the company will continue to pay attention to relevant legal procedures and ensure that its business activities are legal and compliant to minimize potential business risks.

Author✎ Summer/
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