Rakuten’s Free Deliveries Suspected of Violating Law

Economy

Tokyo, Dec. 6 (Jiji Press)--Japan’s Fair Trade Commission said Monday that Rakuten Group Inc. <4755> has committed acts suspected of violating the antimonopoly law through the operation of its online shopping site.

The company forced tenants on its Rakuten Ichiba cybermall to scrap delivery fees for purchases above certain amounts, according to the FTC.

The FTC said Rakuten has pledged to quit such practices and respect tenants’ intentions. The agency said that it plans to end an investigation into Rakuten possibly by the end of this year after determining if the company is implementing the improvement measures it has pledged to take.

In August 2019, Rakuten said that it planned to make deliveries free of charge for purchases of 3,980 yen or more, including tax, made on Rakuten Ichiba. For Okinawa Prefecture, southernmost Japan, and remote islands, the threshold was set at 9,800 yen.

The move was opposed by Rakuten Ichiba tenants, who would have to shoulder the delivery costs under the plan.

[Copyright The Jiji Press, Ltd.]

Jiji Press