YKK recommended to prevent recurrence of 'buying cheap' practices

Japan's Fair Trade Commission has recommended that global zipper giant YKK implement measures to prevent the recurrence of unfair business practices. The commission found that YKK had engaged in "buying cheap," paying unfairly low prices to businesses it contracted for product processing and inspection.

The recommendation targets specific instances where YKK allegedly pressured its suppliers into accepting disadvantageous terms. This practice, known as "kaitotaki" in Japanese, involves exploiting a dominant market position to dictate prices to smaller contractors. The Fair Trade Commission's intervention aims to ensure fair competition and protect smaller businesses within YKK's supply chain.

While the commission issued a recommendation rather than a punitive order, it signals a move towards greater scrutiny of large corporations' dealings with their suppliers. YKK, known worldwide for its zippers and other fastening products, now faces pressure to reform its procurement practices and ensure equitable compensation for its business partners.