Tirado, a radiator manufacturing company based in Tokyo, has been found in violation of Japan's subcontracting laws by the Fair Trade Commission (JFTC) for requiring subcontractors to store molds and other manufacturing tools without compensation. An investigation revealed that from January 2024 to December 2025, Tirado had asked 43 subcontractors to keep a total of 4,311 molds, despite having no new orders that would require them. The molds are substantial, weighing approximately 3.5 tons each, and dimensions exceed standard sizes, making free storage burdensome for subcontractors.

The issue came to light following a complaint from a subcontractor who wanted to dispose of unused molds but was reportedly denied this request by Tirado. The JFTC's findings highlight a broader concern regarding similar practices in the manufacturing sector, indicating such violations may represent a longstanding business custom rather than isolated incidents. As a result, the JFTC has issued a recommendation for Tirado to prevent future violations, as they have already reimbursed approximately 80.69 million yen for storage costs related to the molds.

This case sheds light on the potential exploitation of subcontractors within Japan's manufacturing industry, pointing to systemic issues that allow larger companies like Tirado to offload costs onto smaller firms. The ruling is part of a growing trend in Japan to ensure fair business practices in the supply chain, reflecting a stronger stance against economic imbalances in subcontractor relationships and protecting smaller enterprises from unfair demands.