TOKYO - Japan's antitrust watchdog on Wednesday searched the offices of the country's four major brewers on suspicion of violating the antimonopoly law by forming a cartel to raise the prices of beer and beer-like drinks, a source familiar with the matter said.

It is the first compulsory investigation by the Japan Fair Trade Commission involving food and beverage companies, with Asahi Breweries Ltd., Kirin Brewery Co., Sapporo Breweries Ltd. and Suntory Spirits Ltd. targeted.

The four companies, which hold large shares of the market, are alleged to have colluded over an extended period by having sales representatives meet to exchange information and coordinating on the timing and size of price increases for beer and beer-like drinks, including "happoshu" low-malt beer and cheaper "third category" beer-like beverages, the source said.

Those company's representatives are believed to have held secret meetings to discuss price increases after they attended regular gatherings held about once a month by the Brewers Association of Japan. The FTC also appears to have searched the association as part of its investigation.

According to the National Tax Agency, domestic sales of beer and low-malt beer totaled about 1.6 trillion yen ($10 billion) in 2024.

The FTC, utilizing its authority to search for and seize evidence with a warrant issued by a court, has apparently judged the case to be particularly serious given its potential broad impact on consumers and may consider filing a criminal complaint with prosecutors.

All four companies acknowledged that they are being investigated by the antitrust watchdog, saying they will cooperate with the probe.

The four brewers consecutively raised prices of beer and beer-like drinks in October 2022, October 2023 and April 2025, citing rising costs for raw materials and energy.

Last Thursday, an alcohol tax revision unified the tax on beer and beer-like drinks at 54.25 yen per 350 milliliters. While the tax on beer was cut by around 9 yen, the rates on happoshu and third-category beer were raised by roughly 7 yen, with the price changes also reflecting tax revisions.

The FTC's previous compulsory inspection was into a price cartel involving light oil, conducted in September 2025. The antitrust watchdog filed a criminal complaint against five oil distributors for violating the antimonopoly law.

The special investigation squad of the Tokyo District Public Prosecutors Office indicted them, with the trial ongoing.

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