The State Administration for Market Regulation (SAMR) fined Trip.com Group 5.2 billion yuan for abusing its market dominance.
This penalty is approximately equivalent to $770 million.
The regulator found that China's largest online travel agency engaged in monopolistic conduct since 2020.
Trip.com used platform rules and technology to force hotels into exclusive partnership deals.
The company also mandated that these hotels provide their lowest available prices online.
The total penalty includes a fine of 3.52 billion yuan.
The regulator also confiscated 1.66 billion yuan in illegal gains.
Trip.com must refund 122 million yuan in deposits to hotel operators.
The company accepted the ruling and will comply with all required rectification measures.