Antitrust and the Construction Sector – A Recurring Story

n this entry for the Antitrust Politics blog, author Kaya Ricken explores the German Federal Cartel Office’s €60.3 million fine against companies involved in cartel activities in the road maintenance sector, including customer allocation, price-fixing, and bid-rigging. The case follows earlier enforcement action in Germany and similar investigations by competition authorities in Austria and the UK, highlighting the construction sector’s recurring antitrust risks.

Ricken argues that construction attracts regulatory scrutiny because it is closely tied to major public investments in infrastructure. Competition in markets for roads, railways, energy, and other infrastructure directly affects how efficiently governments and public authorities use limited resources. The DSK case therefore illustrates how cartel conduct can have consequences extending beyond the companies involved to public spending and infrastructure development.

The sector’s structure may also create opportunities for collusion. Construction markets often involve a limited number of specialized regional suppliers whose representatives regularly interact through procurement processes, industry associations, and other professional settings. Public tenders can further facilitate coordination because competitors may have visibility into upcoming projects, previous winners, and likely participants, creating particular risks of bid-rigging, cover bids, and market allocation.

Finally, Ricken highlights a compliance challenge for smaller construction companies, which may lack the dedicated antitrust resources and training programs available to larger corporations. With governments continuing to invest heavily in infrastructure, housing, energy, and industrial development, the author concludes that construction is likely to remain a priority for competition authorities. Companies operating in these markets therefore need to recognize and manage the sector-specific risks created by recurring competitors, public procurement, and long-standing industry relationships.

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