Trip.com Group Limited (NASDAQ: TCOM) saw its shares fall more than 20% in early trading following an official antitrust investigation launched by China's State Administration for Market Regulation. The probe targets the company's market practices in China's online travel sector.
- Trip.com's shares dropped over 20% following the antitrust probe announcement on January 15, 2026.
- The investigation was initiated by China's State Administration for Market Regulation (SAMR).
- Focus areas include exclusive supplier agreements, pricing algorithms, and market entry barriers.
- Trip.com affirmed its operations remain normal and pledged full cooperation with regulators.
- Potential penalties could reach billions of RMB, based on past enforcement actions.
- The probe may reshape competition in China’s online travel market, benefiting smaller players.
Trip.com Group Limited (TCOM) experienced a sharp market reaction on January 15, 2026, as its shares plunged over 20% in after-hours trading after China's State Administration for Market Regulation (SAMR) announced an antitrust investigation into the company’s business conduct. The probe focuses on alleged anti-competitive practices within the domestic online travel services market, where Trip.com holds a dominant position as Asia’s largest such platform. The investigation centers on potential abuse of market power, including exclusive agreements with travel suppliers, algorithmic pricing manipulation, and barriers to entry for smaller competitors. SAMR has not disclosed specific allegations, but the move signals a broader regulatory tightening in China’s tech and digital services sectors. Trip.com confirmed it would “actively cooperate” with the authorities and emphasized that its core business operations remain unaffected. The stock decline reflects investor concerns over potential fines, operational restrictions, or forced structural changes. Historically, similar probes have led to penalties exceeding RMB 1 billion (USD 140 million) for major tech firms in China. With Trip.com's market capitalization approaching USD 25 billion at the time of the announcement, the potential financial and operational fallout remains significant. The development impacts not only Trip.com’s shareholders but also the broader travel tech ecosystem in China, where startups and regional operators may see renewed market access if regulatory actions lead to market fragmentation. The outcome could set a precedent for how digital platforms with dominant market positions are scrutinized in China’s evolving regulatory framework.