SOUTH KOREA Law and Practice Contributed by: John H. Choi, Changhun Lee, Hyunah Kim and Jae-Hyuk Choi, Shin & Kim
among foreign companies, then it should be considered to affect the Korean market, unless there are special circumstances. 1.7 Principles of Comity The Korean court has emphasised the impor - tance of comity with respect to competition law. In the air cargo case mentioned in 1.6 Jurisdic- tion , the Korean Supreme Court expressed its concern that “excessive extraterritorial applica- tion of the MRFTA would give rise to unfair con- sequences” . Likewise, the KFTC has emphasised comity in areas involving competition law. It submitted an amicus brief on 23 May 2014 in Motorola Mobil - ity LLC v AU Optronics Corp, No 14-8003 (7th Circuit 2014), where extraterritorial application of the US antitrust laws was a key issue. In this amicus brief, the KFTC asked the US court to uphold the comity principle by stating: “Further- more, the antitrust regime of a country typically accommodates the country’s unique legal tradi- tion and socioeconomic characteristics... If this Court disregards such fundamental differences and applies the US antitrust laws to claims aris- ing out of transactions that took place outside the US between non-US entities without any direct effect on the US market, such expansive appli - cation of the US antitrust laws is likely to create conflicts with other countries’ sovereignty.” 1.8 Enforcement Priorities According to the KFTC’s 2023 annual statistic report, the KFTC sanctioned 1,703 cartel cases between 1981 and 2023. Among these, price fixing accounted for 744 cases (43.7%), and bid rigging for 705 cases (41.4%). Additionally, according to the KFTC’s 2025 White Paper, the KFTC has sanctioned a total of 31 international cartel cases from 2002 through January 2024,
beginning with the graphite electrode cartel case in 2002. The 2023 annual statistic report also categorises the initiation of cartel investigations as either to be based on “report” or “ex officio” . In 2021, of 138 initiated cases, 94 were based on reports and 44 ex officio; in 2022, of 149 cases, 96 were report-based and 53 ex officio; and in 2023, of 189 cases, 62 were report-based and 127 ex officio. The term “report” in this context may include leniency applications from cartel par - ticipants as well as third-party reports. Separately, the KFTC’s 2025 White Paper pro - vides data on leniency trends. Of the cartel cas - es resulting in surcharge imposition, 34 out of 52 cases in 2021, 28 out of 45 cases in 2022, and 24 out of 47 cases in 2023 were initiated through leniency. 1.9 Guides Published by Governmental Authorities An English translation of the Monopoly Regu - lation and Fair Trade Act and the Enforcement Decree of the Monopoly Regulation and Fair Trade Act is available online.
2. Early Stages of Cartel Enforcement 2.1 Initial Investigation
The KFTC may commence an investigation into an alleged cartel case on its own or by receiv - ing a report of such cartel. According to the annual statistical report issued by the KFTC, of the KFTC’s 189 cartel cases in 2023, 62 were based on reports to the KFTC and 157 cases were commenced by the KFTC on its own.
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