Competition Commission refers PG Glass and Glasfit cartel case to Competition Tribunal over alleged 22 year price fixing scheme in South Africa

If you’ve ever had a cracked windscreen in South Africa, chances are you ended up calling either PG Glass or Glasfit.

For years, those two names have practically defined the country’s automotive glass industry.

Now, that dominance is at the centre of a major legal storm.

The Competition Commission of South Africa has ruled that the two companies allegedly operated as a price-fixing cartel for more than two decades.

In simple terms, instead of competing against each other, they are accused of working together to set prices.

And if that finding sticks, it could mean massive penalties.

What the Competition Commission Found

According to the commission, the alleged arrangement dates back to 2004.

Investigators believe the two companies coordinated annual price increases — sometimes by identical percentage margins — when supplying automotive glass to everyday customers and insurance companies.

That’s where the red flags went up.

Under the Competition Act of 1998, businesses are prohibited from colluding to fix prices or divide markets.

The entire point of competition law is to prevent exactly this kind of conduct, where dominant players squeeze out competitive pressure and effectively control a sector.

The commission has now referred the case to the Competition Tribunal for prosecution.

Why This Matters for Ordinary South Africans

At first glance, this might sound like corporate legal jargon.

But think about it: if two companies control most of the market and quietly agree on pricing, consumers have almost nowhere else to turn.

Automotive glass is not a luxury. It’s essential.

A cracked windscreen can fail a roadworthy test, compromise safety, and in many cases must be replaced immediately.

Insurance companies, too, rely heavily on these suppliers to service claims.

If prices were artificially inflated for over 20 years, that means millions of motorists and insurers may have been paying more than they should have.

Commissioner Doris Tshepe described automotive glass as a priority sector and made it clear that dismantling any cartel behaviour would help drive fairer pricing across the board.

A Monopoly in All but Name

While South Africa technically has a free market, some industries are highly concentrated.

Automotive glass has long been viewed as one of those sectors where entry barriers are high.

You need infrastructure, distribution networks, trained technicians and supplier agreements.

That makes it difficult for smaller competitors to break through.

Between them, PG Glass and Glasfit have built nationwide branch networks and strong ties with insurers.

Over time, that kind of dominance can start to look less like competition and more like coordinated control — at least in the eyes of regulators.

The Possible Financial Fallout

The commission is recommending that the tribunal impose administrative penalties of up to 10% of each company’s annual turnover for every year of contravention.

Over 22 years, that could translate into millions — potentially even billions — of rand.

Of course, a referral is not a final ruling.

The tribunal process will allow both companies to present their defence, challenge the evidence and argue their case.

But if found guilty, the consequences would be serious — not just financially, but reputationally too.

Cartels and South Africa’s Broader Crackdown

This is not the first time the Competition Commission has gone after major players in concentrated industries.

Over the years, it has tackled price-fixing cases in bread, construction, steel and banking sectors.

The message has been consistent: collusion harms consumers and distorts the economy.

South Africa’s competition authorities have increasingly positioned themselves as aggressive watchdogs, especially in industries that affect everyday living costs.

Automotive repairs fall squarely into that category.

What’s Next?

The case now moves to the Competition Tribunal, where formal proceedings will unfold.

That process could take months — even years — depending on legal challenges and the complexity of evidence.

If the tribunal finds the companies guilty, penalties will be determined and possibly negotiated.

There is also the potential for civil claims down the line, particularly if insurers or consumer groups decide to seek compensation.

For now, the spotlight remains firmly on the sector.

Consumers, insurers and smaller competitors will be watching closely to see whether this leads to genuine reform — and possibly more competitive pricing.

Summary

South Africa’s Competition Commission has referred PG Glass and Glasfit to the Competition Tribunal after finding they allegedly operated a price-fixing cartel for 22 years.

The regulator believes the two companies coordinated annual price increases in the automotive glass market, potentially breaching the Competition Act of 1998.

If found guilty, they could face penalties of up to 10% of their turnover over the period in question.

The case raises serious concerns about market dominance, consumer costs and fair competition in a critical sector of the South African economy.