China's State Administration for Market Regulation has imposed penalties of nearly 5.2 billion yuan ($765 million) on Trip.com Group, the country's largest online travel platform, for abusing its dominant market position. The total penalty includes a fine of over 3.5 billion yuan and the confiscation of more than 1.6 billion yuan in illegal gains. The regulator also ordered the company to refund approximately 122 million yuan in booking deposits that were withheld from hotel operators.
The regulator found that since as early as 2020, Trip.com used traffic-allocation mechanisms, platform rules, and technical measures to restrict market competition. The company entered into exclusive partnerships with certain hotels and prohibited them from collaborating with competing platforms. Additionally, Trip.com demanded that hotel operators ensure their rates on the platform were the lowest available online, infringing upon the operators' right to set their own prices.
The antitrust investigation, which began in January following complaints of unfair terms and pricing manipulation, concluded that these practices harmed consumer interests and constrained the ability of hotels to conduct cross-platform business. This enforcement action aligns with Beijing's efforts to curb unfair competition and excessive price competition among internet platforms, which authorities say has hurt businesses and fueled deflationary pressures.
Trip.com, which operates brands including Ctrip and Skyscanner, acknowledged the decision in a statement. The company stated that it sincerely accepts and will resolutely comply with the penalties, adding that it will systematically implement and ensure the full execution of the rectification measures.