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Japan Warns Tokyo Luxury Hotels Over Potential Price-Fixing Practices

The Fair Trade Commission cautioned 15 operators to halt information-sharing meetings or face formal antitrust investigations.

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Overview

  • The Japan Fair Trade Commission (JFTC) issued formal warnings to 15 luxury hotel operators in Tokyo on May 8, 2025, citing potential violations of antimonopoly laws.
  • The hotels, including Imperial Hotel, New Otani, and Hotel Okura Tokyo, held monthly meetings to exchange standardized data on room prices, occupancy, and bookings.
  • The JFTC emphasized that these practices could constitute an unreasonable restraint of trade, urging operators to cease such activities immediately.
  • Regulators also instructed the Japan Hotel Association and All Nippon Hotel Association to ensure compliance across the broader hotel sector, including business hotels.
  • The warnings come as Japan experiences a surge in foreign tourism post-COVID-19, with non-luxury hotel room rates nearly doubling since 2021 due to inflation and labor shortages.