China fines Trip.com $715 million for market abuse

China's market regulator has fined travel booking giant Trip.com Group 5.2 billion yuan (approximately $715 million) for abusing its dominant position in the domestic online hotel booking market. The State Administration for Market Regulation (SAMR) confiscated 1.66 billion yuan in illegal gains and imposed a 3.52 billion yuan fine.

Regulators stated that Trip.com, the largest online travel platform in China, used traffic allocation mechanisms, platform rules, and technical means to secure exclusive cooperation agreements with some hotels. These practices aimed to offer the lowest prices but ultimately restricted hotels' ability to operate on multiple platforms and set their own prices, harming market competition and consumer interests.

Trip.com, which owns brands like Ctrip, Skyscanner, and Qunar, has accepted the ruling. "We sincerely accept and will resolutely obey," the company stated. "We will strictly follow regulatory requirements and systematically implement all rectification measures to ensure all measures are fully executed."

The investigation was launched in January following complaints that Trip.com imposed unfair terms on hotels and manipulated prices. This penalty comes as Beijing intensifies efforts to curb unfair competition and price wars among online platforms, which authorities argue harm businesses and exacerbate deflationary pressures.

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We sincerely accept and will resolutely obey. We will strictly follow regulatory requirements and systematically implement all rectification measures to ensure all measures are fully executed.