Questionable Pricing Practices Spotted at Dunlop Tyre Japan
Dunlop Tyre Japan's Synchro Weather Tires: No Antitrust Violations, Corrective Plan Approved
In a recent development, the Fair Trade Commission of Japan has approved a corrective plan submitted by Dunlop Tyre Japan Ltd., a unit of Sumitomo Rubber Industries Ltd., regarding allegations of improper pricing of Synchro Weather brand all-weather tires.
The allegations suggested that Dunlop Tyre Japan had requested mass retailers and other shops to maintain suggested retail prices for Synchro Weather tires from October last year to April this year. However, the Fair Trade Commission did not recognize a violation of the antimonopoly law by Dunlop Tyre Japan over the practice of requested price maintenance for Synchro Weather tires.
The requested prices for Synchro Weather tires ranged between approximately 20,000 and 60,000 yen, depending on the size. The product under investigation is the Synchro Weather brand all-weather tires, which are featured in advertisements featuring Major League Baseball superstar Shohei Ohtani.
It is important to note that the search results did not provide any evidence suggesting that Dunlop Tyre Japan violated antitrust laws related to the pricing strategy of Synchro Weather tires. The case involved the company's Synchro Weather brand all-weather tires, and the Fair Trade Commission confirmed that Dunlop Tyre Japan had requested price maintenance for these tires.
Despite not recognizing a violation, the Fair Trade Commission approved a corrective plan submitted by Dunlop Tyre Japan. The approval was given based on an administrative procedure under the antimonopoly law. The company had faced criticism for threatening to stop shipments to noncompliant retailers.
This decision by the Fair Trade Commission marks a significant development in the case, providing clarity for both the automotive industry and consumers regarding the pricing practices of Dunlop Tyre Japan's Synchro Weather brand all-weather tires.
The corrective plan, approved by the Fair Trade Commission, may include adjustments to the requested retail prices for the Synchro Weather brand all-weather tires, as the case involved concerns over price maintenance. This decision could potentially affect the financial status of Dunlop Tyre Japan, given the significant role the Synchro Weather line holds in their business due to its prominence in the advertising industry, featuring a well-known sports personality such as Shohei Ohtani.
