What is the JFTC alleging in this case?

Reports indicate the commission plans to recommend action because repair shops allegedly transported over 2,000 vehicles without payment since 2024, which could be an unfair cost shift under the Subcontract Act. The case centers on whether transport is a subcontracted service that requires explicit terms and compensation, not a dealer overhead item.

Why does this matter for investors in Japan’s auto sector?

Repayments and ongoing logistics budgets can pressure service margins. The first ruling on transport costs sets a reference for dealer networks nationwide. Investors should watch disclosures on reimbursements, new fee schedules, vendor payment timing, and any guidance on service gross margins or SG&A linked to logistics and compliance changes.

What compliance steps should dealer groups take now?

Create written contracts that price transport, log dispatches, and set payment timelines. Audit vendor invoices, add hotline channels for disputes, and train managers on the Subcontract Act. Keep records that show timely payments. These steps lower legal risk, improve partner trust, and provide clear evidence during any regulatory review.

Could the standard expand beyond vehicle transport?

Yes. Once transport is treated as a paid subcontracted service, regulators may examine other bundled tasks, like parts delivery or diagnostic services, to ensure they are priced and paid. Firms that standardize terms, document approvals, and monitor vendor payments across categories will be better positioned if scrutiny broadens.

Law and Government

Japan JFTC Targets Nissan Tokyo Sales: First Car-Transport Ruling — February 17

ByDanny Kontos February 16, 2026February 16, 2026

Nissan Tokyo Sales faces action from the Japan Fair Trade Commission over an alleged subcontract law violation after repair shops transported over 2,000 vehicles for free since 2024. The case marks the first ruling to classify car transport costs this way, raising legal and cost risks for dealer networks. For investors, Nissan Tokyo Sales highlights near-term reimbursement exposure and higher recurring logistics expenses. We explain what this means for compliance, how the process could unfold, and why margins at OEM-affiliated service chains in Japan deserve close attention now.