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Japan Raids Firms Over Suspected Bid-Rigging in Hokkaido Shinkansen Extension Project

By  |  May 19, 2026

Japan’s Fair Trade Commission (FTC) on Tuesday carried out on-site inspections as part of an investigation into suspected bid-rigging tied to construction work for the planned extension of the Hokkaido Shinkansen line, according to informed sources.

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    The inspections reportedly involved nine construction-related companies as well as the government-affiliated Japan Railway Construction, Transport and Technology Agency (JRTT), which commissioned the rail project, according to a statement from sources familiar with the matter.

    The companies under investigation include Senken Kogyo Co., Meiko Construction Co., Totetsu Kogyo Co., Hokkaido Kido Shisetsu Kogyo, Union Construction Co., Daitetsu Kogyo Co., Kosei Corp., Sankikensetsu, and Kyutetsu Corp. Totetsu Kogyo is listed on the Prime section of the Tokyo Stock Exchange.

    Investigators suspect the companies coordinated in advance to determine which firms would secure contracts related to track-laying work for the Hokkaido Shinkansen extension between Shin-Hakodate-Hokuto Station and Sapporo Station, per a statement from the sources.

    Read more: Japan’s Antitrust Watchdog to Order JR Central, Others to Halt Bid-Rigging

    The extension covers approximately 212 kilometers and has been divided into 10 sections. According to the sources, companies allegedly selected beforehand obtained contracts for five sections of the project. One of those contracts was awarded to Meiko Construction in October last year for approximately ¥4.34 billion.

    The sources also said the nine companies had already reached agreements regarding which firms would win bids for the remaining five sections.

    If the FTC determines that JRTT played a role in the alleged collusion, the commission could seek corrective measures against the agency under legislation addressing bid-rigging involving public organizations, according to a statement from people familiar with the investigation.

    JRTT and the nine companies said they intend to fully cooperate with the FTC inquiry.

    The Hokkaido Shinkansen line began operations between Shin-Aomori Station in Aomori Prefecture and Shin-Hakodate-Hokuto Station on March 26, 2016.

    In March 2025, Japan’s transport ministry released findings from an expert panel indicating that the extension to Sapporo is now expected to open by the end of March 2039.

    Source: Japan Times