Business

Sales tax hike won't up Muji prices

Kyodo

Ryohin Keikaku Co., the operator of Muji household goods stores, is planning to keep prices unchanged when the consumption tax is raised to 8 percent in April.

The firm said Tuesday it will fight the tax hike through cost-cutting and other efforts, and its products will have tax-inclusive price tags.

Another major retailer, Shimamura Co., which sells clothing items, also said it will display tax-inclusive prices and keep prices unchanged after the April tax hike.

Fast Retailing Co., the operator of Uniqlo casual clothing stores, and Nitori Holdings Co., which runs furniture stores, have both said they will add the tax increase to their product prices and their price tags will show both product values and taxes.

Ryohin Keikaku said it plans to keep prices down by buying more products from Southeast Asia.

“Displaying total prices, which will be the same as total payments, would be the easiest to understand for customers,” President Masaaki Kanai said at a briefing on the company’s earnings results in Tokyo.

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