China’s market regulator has opened an investigation into Beijing Sankuai Information Technology, an operating unit of food delivery and travel giant Meituan, alongside units of Alibaba, Tongcheng Network Technology, and Tujia Online Information Technology for alleged violations of unfair competition laws. State broadcaster CCTV reported that the Beijing branch of the State Administration for Market Regulation initiated the inquiry following preliminary findings into the sector.(Reuters)
The probe follows a joint administrative guidance meeting held by SAMR and the Ministry of Culture and Tourism aimed at curbing risks in the online hotel booking market. Officials instructed industry players to conduct thorough self-examinations and strictly comply with national competition laws, specifically urging companies to abandon destructive market practices like forced exclusive partnerships and network-wide lowest-price guarantees that lead to “involution” and harm market order.
Following the regulator’s meeting and the subsequent announcement by the China Hotel Association, all target companies confirmed they are cooperating fully with market authorities while maintaining normal business operations. The current enforcement push reflects Beijing’s ongoing campaign against monopolistic practices across the digital economy, coming on the heels of a 5.2 billion yuan fine imposed on Trip.com for anti-competitive behavior in hotel bookings as authorities work to protect consumer rights and foster fair market conditions.
