By Brazil Stock Guide – Brazil’s Administrative Council for Economic Defense (Cade) has confirmed the conviction of Rumo Logística (RUMO3) and América Latina Logística (ALL) for abusing their dominant market position. The decision stems from a 2016 investigation triggered by a complaint from Agrovia, alleging that Rumo restricted competitor access to the Santa Adélia railway yard in São Paulo, a vital route for sugar exports through the Port of Santos. The case centers on claims that Rumo unjustifiably blocked access to the facility, distorting competition in the transport sector.
The original ruling, which included a penalty, was overturned by Brazil’s Federal Regional Court of the 1st Region (TRF1). However, in a new ruling on September 3, Cade upheld the conviction while adjusting the fine. The company proposed an agreement that was approved by Cade’s president, Gustavo Augusto, to base the fine solely on revenue derived from sugar transportation on the Paulista Railway. The revised penalty amounts to R$ 20.1 million, updated to August 2025, and must be paid within 30 days from the publication of the decision in the Official Gazette.
Cade also introduced the possibility of reducing the fine to R$ 18.1 million if Rumo agrees to withdraw its judicial actions and other appeals, and pay the fine in a lump sum within the set deadline. Additionally, the decision maintained the original obligations, including measures preventing Rumo from blocking competitors’ access to the Paulista railway network. Rumo is also required to ensure that all interested parties can access the infrastructure and hire railway services on an equal basis.
Furthermore, the company must publicly disclose the decision on its official websites within 15 days and commit to halting its anti-competitive practices. A daily fine of R$ 200,000 will apply if Rumo fails to comply with these obligations.
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