Japan beer giants raided over alleged price-fixing cartel

ByOsmond Chia Business reporter.

Key points

• According to the Japan Times, the investigation centres on the firms raising their costs in April last year and in October 2022.
• Kirin Holdings remarked its subsidiary, Kirin Brewery Business, was searched "on suspicion of a violation of the Antimonopoly Act".
• It continued: "We will fully cooperate with the commission." The Japan Fair Trade Commission has been contacted for comment.
• Asahi and Kirin confirmed to the BBC their premises had been searched by the Japan Fair Trade Commission, adding that they would fully cooperate with the administration authority.
• Asahi, Kirin and Sapporo all saw their share cost fall after news of the investigation broke on Wednesday.

Japanese authorities have raided the country's biggest beer makers over allegations they worked together to raise the rate of their beverages.

There are reports Sapporo Breweries and Suntory Spirits were additionally raided. Both firms have been contacted for comment.

Asahi, Kirin and Sapporo all saw their share cost fall after news of the investigation broke on Wednesday. Suntory is not publicly-listed.

All four firms unveiled increases, citing the rising cost of raw materials as well as other factors such as energy and transportation.

It remarked it takes the matter "very seriously", adding it would "fully cooperate with the Japan Fair Trade Commission's investigation and any requests for cooperation".

Kirin Holdings remarked: "At present, the impact of this matter on the company's financial results has not been determined. The firm will promptly disclose any material developments as they arise."

Asahi Breweries remarked it was "subject to investigation by the Japan Fair Trade Commission regarding a suspected violation of the Act on Prohibition of Private Monopolization and Maintenance of Fair Trade". It continued: "We will fully cooperate with the commission." The Japan Fair Trade Commission has been contacted for comment.

Taken together, the developments around japan beer giants raided over alleged price point to a situation that is still moving, and the coming days should bring more clarity.