China fines Trip.com for abuse of ‘dominant market position’

China’s competition regulator has fined the country’s biggest online travel agency Trip.com the equivalent of £567 million following a six-month anti-trust investigation.

The State Administration for Market Regulation has slapped a Rmb5.18 billion fine on Trip.com, which owns Edinburgh-based flight comparison sight Skyscanner, for abuse of its dominant market position in China.

The Financial Times reported the regulator found Trip.com accounted for more than half the online hotel bookings in China in five consecutive years to 2025.

It concluded that hotel operators had “virtually no room for negotiation on service fees such as commissions” when contracting with Trip.com, stating: “The company can influence and even control hotel prices within the platform.”

The regulator ordered the company to cease imposing “unreasonable trading conditions” on hotels, including restricting their operation on rival platforms.

In a statement, Trip.com said it "sincerely accepts the decision and will adopt rectification measures in accordance with applicable laws and regulations to implement the decision’s requirements.

"The company will strengthen its long-term governance mechanisms and strive to contribute to the sustainable development of the travel industry."

Trip.com reported annual revenue of Rmb62.4 billion (£6.83 billion) last year.

Originally launched as Ctrip, the group rebranded as Trip.com in 2019 after acquiring the US platform of the same name two years earlier. 

It bought Skyscanner in late 2016 for £1.4 billion and has developed a worldwide presence since. However, China remains overwhelmingly the group’s main market.