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Merchants challenge platform dominance, seek fair competition

By Editorial Staff · 17 August 2026
Merchants challenge platform dominance, seek fair competition

A coalition of local e-commerce merchants has formally petitioned the Trade Competition Commission of Thailand (TCCT) to investigate major online marketplaces for alleged anti-competitive practices. The merchants, represented by lawyer Anucha Jediah, claim these platforms are imposing restrictive business conditions, increasing platform fees, and limiting their ability to select logistics providers, which they argue threatens employment across the country’s logistics sector.

The merchants recently met with TCCT officials and representatives from the E-Commerce Association of Thailand. According to an industry source who requested anonymity, the merchants contend that the growing power of online marketplaces has diminished their bargaining power. They assert that certain platform practices may constitute restrictions on competition or unfair treatment of business partners under Thailand’s Trade Competition Act.

Merchants claim they have little control over key aspects of their business operations, including pricing strategies, promotional campaigns, delivery companies, and other strategic elements. They believe these practices fall within the scope of normal commercial operations of digital platforms or constitute anti-competitive behavior.

Mr. Wirat Petchmanee, chairman of the Subcommittee on Enhancing Digital Competition in the House of Representatives and a member of the People’s Party, stated that the problem extends beyond individual merchants, affecting the digital economy and national businesses. He noted that platforms have recently increased service fees by 3%, pushing total charges to over 30%, while continuing to pressure sellers’ profit margins and revenues through various pricing mechanisms.

Mr. Petchmanee added that Thailand’s e-commerce market is dominated by a handful of large players with significant market power, while merchants face rising operational costs. He urged the government to establish a fair competitive framework that balances the interests of both platform operators and sellers.

The TCCT is expected to consider whether these practices constitute unfair treatment of trading partners or anti-competitive behavior under competition law. While platforms claim sellers can request changes to delivery companies, merchants argue that the process remains difficult and such requests may be rejected.

The TCCT issued guidelines on anti-competitive conduct and unfair trade practices for digital e-commerce platforms on March 25, 2026. These guidelines prohibit platforms from engaging in restrictive competition, forcing businesses to use their affiliated services, and unfairly benefiting from their own services.

However, the merchants are dissatisfied, stating that market practices have not yet reflected any meaningful changes following the implementation of these regulations. A key issue highlighted is that logistics companies are denied opportunities to compete, potentially leading to the loss of substantial business volume and impacting employment in the delivery sector. The merchants are requesting the TCCT to investigate companies like Shopee, Lazada, and TikTok.