On 19 March 2024, the Antimonopoly Committee of Ukraine (“AMC”) published its annual report for the year 2023. The report spotlights key figures of the regulator’s performance in 2023, steps towards harmonisation of the Ukrainian competition laws and regulations with EU legislation and the AMC’s priorities for 2024.
2023 STATISTICS
Enforcement
The regulator imposed fines totalling over EUR 64 mln representing a staggering 364% increase compared to 2022. However, the collected fines are slightly lower than the last years’ fines amounting to approximately EUR 8 mln.
The number of anticompetitive concerted practices (bid rigging) increased from 285 in 2022 to 1020 cases in 2023. No reported cartels have been fined in 2023.
Merger Control
The regulator cleared 313 transactions in 2023:
- 81.8% – under Phase I;
- 6.4% – under a fast-track procedure;
- 4.5% – under Phase II; and
- 7.3% – within the review of merger control infringements.
The AMC initiated 14 in-depth Phase II investigations, resulting in 7 unconditional clearances and 6 clearances subject to remedies. One case was closed without a decision on the merits.
The AMC detected and fined parties for 41 mergers and acquisitions completed without the required clearances marking a 46.4% increase from the previous year. These infringements resulted in substantial fines, which were 8.7 times higher than those imposed in 2022. Notably, the largest fine for the failure to notify reached almost EUR 1.2 mln (circa EUR 600 thousand for each party of the joint venture).
HARMONISATION OF DOMESTIC REGULATIONS WITH EU LEGISLATION
Considering Ukraine’s strategic trajectory towards EU membership, a key focus area for the AMC is aligning Ukrainian legislation with that of the European Union. On 1 January 2024, long-awaited amendments to the Ukrainian competition law entered into force. This resulted in approving several resolutions to update merger clearance regulations (for further details, please refer to our legal alert), implementing enhancements to the AMC’s investigative powers, improving the leniency procedure, and establishing a settlement procedure.
AMC’S PRIORITIES FOR 2024
The regulator will focus on sectors such as petrol, railway rolling stock components, socially important goods, pharmaceuticals, and procurements in the construction and energy sectors. Strengthening the AMC’s institutional capacities towards EU integration remains one of its top priorities. This includes working closely with the OECD and other stakeholders as well as improving rules and procedures to reinforce the AMC’s role.
