Indian authorities resume investigation of antitrust violations and ban flash sales, etc., tightening foreign-affiliated regulations

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On June 17, it was clarified that Indian online shopping "Flipcart" funded by US retail major WalMart, and US online shopping major "Amazon" had objected to a resumption of an antitrust investigation by the Indian Investigation Commission. As for the background of this objection, in January, the Indian authorities announced that they would conduct a large-scale investigation on suspicion of antitrust violations, though the investigation was temporarily suspended due to the objection of both companies. , in June, the objection was dismissed by a high court in Karnataka, southern India, and the investigation was resumed. In addition, on June 21, the Ministry of Consumer Affairs of India banned "flash sale (limited time sale)" on online shopping, and banned affiliated companies of major online shopping companies, from opening stores as sellers. It is becoming more cautious about Flipkart and Amazon, which have a large share of the Indian online shopping market.

Source: Reuters "Objection to Resume Investigation of Indian Antitrust Law by Flipkart and Amazon" (June 18, 2021)> Bloomberg "India, Proposal to Tighten Regulations on e-commerce, also Affects Amazon" (June 22, 2021) (link available in Japanese only)

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