November 7, 2024
Japan Fair Trade Commission
Okinawa General Bureau, Cabinet Office
The Japan Fair Trade Commission (hereinafter referred to as the “JFTC”) today issued warnings to two petroleum product retailers operating gas stations in Okinawa City and Kitanakagusuku Village, Nakagami District in Okinawa Prefecture. In this case, the conducts of Nagayama Petroleum Co., Ltd. and EKKA Co., Ltd. were likely to be in violation of the provision of Article 19 (Unjust Low Price Sales [Article 2-9 (3)]) of the Antimonopoly Act.
1. Summary of Warnings
(1) Nagayama Petroleum Co., Ltd. and EKKA Co., Ltd. supplied regular gasoline at prices significantly below the cost required for supply during the fixed period between February 1 and June 30, 2024. Those conducts were likely to cause difficulties for the business activities of other petroleum product retailers in the surrounding areas of their gas stations.
(2) This case was handled in accordance with the JFTC’s policy to take strict measures in cases where problematic practices in the area of petroleum product retail pricing are observed. Specifically, it involves cases where gas stations were found to be selling below procurement cost and repeatedly engaging in unjust low-price sales practices. This includes instances where the JFTC issued cautions within a year for practices likely to lead to unjust low-price sales.
2. Cautions
The JFTC issued cautions to two other petroleum product retailers (operating five gas stations) located in the surrounding areas of the gas stations. During the fixed period between February 1 and June 30, 2024, these retailers engaged in conducts related to the supply of regular gasoline that were likely to lead to unjust low-price sales.
* This announcement is a tentative translation. Please refer to the original text written in Japanese.
