China Initiates Antitrust Investigation Against Travel Behemoth Trip.com
China’s State Administration for Market Regulation has initiated a formal antitrust investigation into Trip.com Group, the country’s premier online travel agency. The allegations center around monopolistic practices and abuse of market dominance.
The announcement of the probe, made in mid-January 2026, precedes China’s Spring Festival holiday period, a time when travel is expected to surge into the millions. The news resulted in Trip.com’s shares plummeting nearly 20% in Hong Kong, marking the company’s most dismal trading day since its 2021 listing. The company’s U.S.-listed shares also experienced a significant drop, falling approximately 17%.
With an estimated 56% share of China’s hotel and travel market in terms of gross merchandise volume, Trip.com far outpaces its competitors, Tongcheng Travel and Meituan, which each hold a 13% market share. This investigation follows in the wake of similar regulatory actions taken against tech giants Alibaba and Meituan, which were penalized with fines of $2.8 billion and $488 million respectively for monopolistic behavior.
As per China’s Anti-Monopoly Law, companies found guilty of abusing dominant market positions could face fines ranging from 1% to 10% of their annual revenue. Given that Trip.com reported approximately $7.65 billion in revenue for 2024, the potential penalties could amount to several billion yuan. The company has stated that it will “actively cooperate” with the investigation, and that business operations will continue as usual.
Source: CNBC