Amazon is reportedly under a surprise investigation in Japan for allegedly forcing sellers to lower prices
A government source said that on Tuesday, the Japan Fair Trade Commission conducted an on-site investigation of Amazon's Japanese subsidiary on suspicion of violating the Antimonopoly Act. The source stated that the Amazon subsidiary is suspected of improperly urging sellers to lower prices on its e-commerce website in exchange for favorable placement of their products on the site. The source indicated, "There are suspicions that Amazon's Japanese subsidiary is forcing sellers to lower prices in an unreasonable manner." The Amazon Japanese subsidiary did not immediately respond to inquiries regarding the raid. Last week, it was reported that Amazon may face an investigation from the EU next year as European antitrust regulators file lawsuits under landmark rules, investigating whether it supports its own branded products on its online marketplace. Japanese regulators previously raided Amazon's Japanese subsidiary in March 2018 due to allegations that the company required suppliers to bear part of the costs incurred from discounting products on the site. Authorities accepted the Amazon Japanese subsidiary's plan to improve business practices in September of that year
According to the Zhitong Finance APP, a government source stated that on Tuesday, the Japan Fair Trade Commission conducted an on-site investigation of Amazon's (AMZN.US) Japanese subsidiary on suspicion of violating the Antimonopoly Act.
The source indicated that the Amazon subsidiary is suspected of improperly urging sellers to lower prices on its e-commerce website in exchange for favorable positioning of their products on the site.
The source said, "There are suspicions that the Amazon Japanese subsidiary is forcing sellers to lower prices in an unreasonable manner."
The Amazon Japanese subsidiary did not immediately respond to inquiries regarding the raid.
Reports last week indicated that Amazon may face an investigation from the EU next year as European antitrust regulators file lawsuits under landmark rules, investigating whether it supports its own branded products on its online marketplace.
Japanese regulators previously raided the Amazon Japanese subsidiary in March 2018 due to allegations that the company required suppliers to bear part of the costs incurred from discounting products on the site. Authorities accepted the Amazon Japanese subsidiary's plan to improve business practices in September of that year