Case examines alleged use of algorithms to coordinate prices.
Brazil’s antitrust authority CADE is advancing an investigation launched about five years ago into the potential use of artificial intelligence to coordinate fuel prices.
The case examines whether pricing algorithms developed by software company Aprix may be leading to “uniform commercial practices” in the fuel retail market.
The probe comes as the federal government steps up oversight of gas stations. The CADE is assessing whether the use of Aprix’s software reduces incentives for independent pricing decisions, potentially weakening competition and limiting price declines.
Rio Grande do Sul-based Aprix describes itself as specializing in solving complex pricing challenges using artificial intelligence and large data sets. According to the case file, one feature of its platform allows fuel stations to compare their prices with those of competitors that are also Aprix clients.
In 2022, the tool aggregated pricing data from around 20,000 stations. At the time, the company listed major fuel retail chains and distributors among its key clients, though such references are no longer displayed on its website.
A 2024 technical note by the CADE found “statistically significant” price increases at stations using Aprix’s services after adoption, across all fuels analyzed except compressed natural gas (CNG). The findings are based on multiple econometric models and tests. The CADE’s Department of Economic Studies estimated that stations using the platform saw gains ranging from R$0.02 to R$0.03 per liter for gasoline and ethanol, and from R$0.01 to R$0.04 per liter for diesel.
On March 15, 2025, the CADE’s investigative unit requested clarifications from Aprix and from the Minas Gerais Fuel Retailers Union (Minaspetro), which is also under investigation, regarding the use of the algorithm. The authority also asked for evidence that no anticompetitive conduct is taking place. The request is part of a formal investigation opened in August 2024, following a preparatory phase that began in 2021. According to a source familiar with the matter, the technical review could be concluded in April.
Advertising materials for the platform are part of the evidence. In a 2020 video, a Minaspetro representative highlights the importance of pricing decisions, warning that incorrect pricing could lead to business closures. Another Aprix advertisement from the same period stresses the importance of “maintaining higher prices” to avoid a broader decline in market price levels. A separate video features a fuel retail network representative reinforcing the message of avoiding price cuts to prevent an overall drop in market prices.
For the CADE’s technical staff, these elements raise competition concerns, suggesting that Aprix may have promoted messaging discouraging price reductions across the fuel market.
“Aprix’s advertising materials encourage not only its clients but fuel market participants more broadly to adopt prices above what would be expected in a competitive environment, or at least not to lower prices or offer discounts to consumers,”
the authority said in its opinion.
By encouraging fuel stations to adopt its pricing system, one key concern is the potential “facilitation, enabling or acceleration of price alignment through pricing algorithms,” according to the technical assessment.
At the end of the investigation, the CADE’s General Superintendence will recommend either sanctions or dismissal. The case will then be reviewed by the CADE’s tribunal, which will issue a final decision. If found guilty, the companies involved may face administrative fines ranging from 0.1% to 20% of their revenues, in addition to other penalties.
In a statement, Minaspetro said attempts to link the union to the investigation “lack any factual basis and completely disregard the facts already clarified in the case,” adding that it has “never recommended, endorsed, or maintained any commercial relationship with the company, nor promoted or encouraged the use of any pricing tool.” The group also said it maintains a competition compliance program implemented under an agreement with the CADE and continuously updated.
Aprix representatives did not respond to requests for comment. The CADE said it does not comment on ongoing cases.
Source: Valor International
