FTC Launches Inquiry into Supply Chain Disruptions

The Federal Trade Commission is ordering nine large retailers, wholesalers, and consumer good suppliers to provide detailed information on supply chain disruptions. The information will also show how disruptions are causing hardships for consumers and harming competition in the U.S. economy.

The orders are being sent to Walmart, Amazon, Kroger, C&S Wholesale Grocers, Associated Wholesale Grocers, McLane Company, Procter & Gamble, Tyson Foods, and Kraft Heinz. The companies will have 45 days from the date they received the order to respond. FTC Chair Lina Khan is hopeful the study “will shed light on market conditions and business practices that may have worsened disruptions or led to asymmetric effects.” The orders require the companies to detail the primary factors disrupting their ability to obtain, transport and distribute their products; the impact of the disruptions, the most affected products, the steps taken to alleviate disruptions, and how they allocate products among their stores when they are in short supply.