The Romanian Competition Council has imposed fines totaling RON 135.2 million (approximately €26.6 million) on Philip Morris Trading SRL, Interbrands Orbico SRL, and Mediaposte Hit Mail SA for their participation in anticompetitive agreements on the market for heated tobacco products.
Following an in-depth investigation, the authority found that Philip Morris Trading SRL had entered into resale price maintenance arrangements with each of its distributors, Interbrands Orbico SRL and Mediaposte Hit Mail SA, concerning the IQOS heated tobacco products. These arrangements involved the direct or indirect fixing of resale prices charged to final consumers, as well as the determination of discount levels applied in promotional campaigns.
In practice, the companies agreed on the prices at which IQOS products were to be resold to customers and on the discounts granted during promotional activities carried out by Interbrands Orbico SRL at IQOS islands (stands) and by Mediaposte Hit Mail SA on the website iqos.ro. Moreover, distributors were allowed to run promotional campaigns only with the prior approval of the supplier, both at physical IQOS points of sale and online, further restricting their commercial autonomy.
As a result of these infringements, Philip Morris Trading SRL was fined RON 78,688,820 (approximately €15.5 million), Interbrands Orbico SRL received a fine of RON 52,118,418 (around €10.2 million), and Mediaposte Hit Mail SA was fined RON 4,451,897 (about €0.9 million). Interbrands Orbico SRL benefited from a reduction in its fine after acknowledging its breach of the Competition Law.
Commenting on the decision, Bogdan Chirițoiu, President of the Romanian Competition Council, emphasized that each company must independently determine its commercial policy and not do so through agreements with business partners. He noted that fixing resale prices and discount levels restricts the freedom of trading partners to set their own prices, ultimately harming consumers.
The Competition Council reiterated that Romanian competition law prohibits any agreements or concerted practices between companies that prevent, restrict, or distort competition on the Romanian market, particularly those that directly or indirectly set purchase or sale prices or other trading conditions.
The authority’s decisions are enforceable, and the fines imposed constitute revenue to the state budget. The National Agency for Fiscal Administration (ANAF) is responsible for implementing the sanctioning decision and collecting the fines.