Fair Trade Commission Nears Second-Phase Restructuring in October... Speculation Grows Over New Bureau Chiefs and Standing Commissioners

Full-scale Implementation of Second Phase Restructuring from Q4
Economic Analysis Upgraded to Bureau Status, Launch of Special Investigations Task Force
Speculation Mounts Over New Bureau Chief and Standing Commissioner, Both Internal and External Candidates Considered

The Fair Trade Commission will form a massive new lineup in the second half of the year through a sweeping second phase of organizational restructuring and high-level appointments.

Launch of a 37-member Economic Analysis Bureau on par with US and UK standards... Kim Sanghyeon likely to be the inaugural director

Joo Byungki, Chairman of the Fair Trade Commission, is answering questions related to current issues at a press briefing held at the Government Complex Sejong in Sejong City on the 21st. Photo by Yonhap News.

According to the Fair Trade Commission on September 24, starting from October 1, for the first time in the Commission's history, an Economic Analysis Bureau with a level of expertise comparable to that of advanced competition authorities in countries such as the United States, United Kingdom, and European Union will officially launch. The newly established Economic Analysis Bureau will be composed of 37 members, forming a top-tier internal and external think tank. It will play a pivotal role in not only verifying violations but also significantly enhancing the precision of ill-gotten gains recovery and penalty calculation.

Joo Byungki, Chairman of the Fair Trade Commission, emphasized the strong necessity of the new bureau at a recent press briefing, stating, "With complex new forms of anti-competitive behavior such as data monopolies in platform ecosystems or algorithm self-preferencing, it has become difficult to prove illegality without sophisticated economic data analysis capabilities." He also noted, "With the launch of the Economic Analysis Bureau, the Commission will be able to leverage higher-level economic analysis expertise to verify and monitor whether sanctions effectively restore market prices to pre-collusion levels."

In addition, on the same day, a Special Investigations Planning Task Force (comprising 40 members) dedicated to swiftly and intensively reviewing unfair business practices directly impacting people's lives will also be launched. To support the establishment of the task force and the Economic Analysis Bureau, the Commission plans to expeditiously complete the second phase of personnel increase, totaling 237 additional staff. Regarding the Special Investigations Planning Task Force, Chairman Joo stated, "Cartel cases that drive up consumer prices in monopolized sectors are major issues that the task force must focus on," signaling that the task force will focus on sectors such as flour and sugar that place a financial burden on ordinary households. He also explained, "There is an advantage in having a single organizational unit simultaneously handle multi-layered cases involving not only abuse of market dominance, but also violations related to the use of artificial intelligence, product labeling, advertising, and other factors," emphasizing the multi-faceted investigative role that goes beyond the limitations of existing structures.

'Special Investigations Planning Task Force' to be operational from Q4... Choi Janggwan likely to be the inaugural head

With the second phase of organizational restructuring set for October 1, speculation is mounting both inside and outside the Commission regarding the leadership and high-level appointments for the new divisions. According to sources within and outside the Commission, Choi Janggwan, the current Director General of the Corporate Groups Surveillance Bureau, is a strong candidate to become the first head of the Special Investigations Planning Task Force, which will be responsible for investigating livelihood-related cartels and complex multidimensional cases. Meanwhile, Kim Sanghyeon, the current Director of Economic Analysis and a former professor in the Department of Economics at Yonsei University, is considered a leading candidate for the inaugural director of the Economic Analysis Bureau, which will utilize extensive data and precise econometric analysis to rigorously address market abuses by major digital platforms.

Furthermore, the number of commissioners at the Fair Trade Commission increased from nine to eleven this April following the amendment of the Monopoly Regulation and Fair Trade Act. With one position now vacant, the appointment of a new standing commissioner is expected to be finalized soon. Chairman Joo indicated, "A new non-standing commissioner was appointed recently, and the process for appointing a standing commissioner will be completed soon," suggesting that the top-level personnel puzzle, coinciding with the organizational restructuring, will be resolved shortly. While there is widespread speculation that an external candidate could be brought in for the standing commissioner role for the first time in 17 years, there are also discussions about the possible in-house promotion of Seon Junggyu, the current Director General of Competition Policy.

This content was produced with the assistance of AI translation services.