Overview
China's State Administration for Market Regulation (SAMR) has imposed a combined penalty of 5.2 billion yuan (approximately $770 million) on Trip.com Group, the country's largest online travel platform, for abusing its dominant position in the online hotel‑booking market.
Penalty Breakdown
The regulator confiscated 1.66 billion yuan in illegal gains, levied an additional fine of 3.52 billion yuan, and ordered Trip.com to refund 122 million yuan in booking deposits that had been withheld from hotel operators.
Antitrust Findings
SAMR concluded that Trip.com employed traffic‑allocation systems, platform rules and technical measures to secure exclusive agreements with certain hotel operators, enabling the platform to obtain the lowest room prices across online booking services. These practices restricted hotels from listing rooms on competing platforms and from independently setting prices, thereby harming competition and reducing consumer choice.
Company Response
Trip.com accepted the regulator's decision, pledged to implement the required corrective measures, and said it would review its business practices to ensure compliance with SAMR's instructions.
Context
The penalty follows an antitrust investigation launched in January after complaints that Trip.com imposed unfair conditions on hotel operators and interfered with pricing. The action is part of a broader Chinese crackdown on large internet platforms, targeting exclusive agreements, algorithmic pricing, and merchant restrictions, and aligns with Beijing's effort to curb excessive price competition and deflationary pressures.