Seoul rejects US Republicans' claims of discrimination against Coupang

A Coupang truck is parked in Seoul in this file photo from Dec. 1, 2025. The Ministry of Foreign Affairs rejected claims by dozens of U.S. Republican lawmakers that Seoul is discriminating against American companies operating in Korea, including Coupang, stressing that the investigation into the e-commerce giant is being conducted in accordance with domestic laws and due process. Yonhap

The Ministry of Foreign Affairs rejected claims by dozens of U.S. Republican lawmakers that Seoul is discriminating against American companies operating in Korea, including Coupang, stressing that the investigation into the e-commerce giant is being conducted in accordance with domestic laws and due process.

This came in response to a letter signed by 54 Republican lawmakers who accused the government of "targeting American companies," with Coupang, which is under investigation in relation to a massive customer data leak, at the center of the dispute.

"Measures and investigations related to Coupang are being carried out in accordance with our domestic laws and due process and are being applied in a nondiscriminatory manner regardless of nationality," the ministry said in a statement Thursday.

It stressed that Seoul is faithfully upholding a commitment in the Korea-U.S. joint fact sheet that U.S. companies will not face discriminatory barriers in laws and policies concerning digital services.

"The government has been continuously explaining this stance to the U.S. Congress and will continue to do so," it added.

The statement was issued after the Republicans' letter, addressed to Korean Ambassador to the U.S. Kang Kyung-wha, urged Korea to stop targeting American companies. U.S.-headquartered Coupang is expected to be fined in a few days over the data breach of 33.7 million member accounts.

The letter accused Seoul of ignoring its commitments under the bilateral agreement.

“Many American tech companies have faced a range of regulatory actions that seek to punish them while shielding Korean domestic competition ... Unfortunately, this commitment has been ignored by the (Republic of Korea) government, which has continued to disadvantage American companies. This is unacceptable,” the letter read.

The issue surrounding Coupang, which is headquartered in the U.S. but carries out the vast majority of its business in Korea, has been a bone of contention between the two nations in diplomacy and trade since the investigation into the data breach was launched late last year.

Coupang Inc. Chairman Bom Kim poses in front of the New York Stock Exchange after listing the company, March 11, 2021. AP-Yonhap

A small number of U.S. politicians started to raise issues about the probe, claiming the Korean government was unfairly treating the company and its top executives, including founder Bom Kim, who is American by nationality. The claim has expanded among top U.S. officials. For instance, U.S. Vice President JD Vance raised the issue during his meeting with Korean Prime Minister Kim Min-seok in January, and Korean lawmakers visiting their U.S. counterparts have also said that the Americans expressed concerns about Korea's "unfair" treatment of the company.

Republican Rep. Darrell Issa, who was one of the 54 lawmakers who signed the letter, appeared on Fox News on Wednesday and accused Korea of acting against American business interests. Pointing to the dependence of major Korean companies such as Samsung and Hyundai on the U.S. market, he said, “If they want that benefit, we have to use that leverage of the free trade agreement.”

A local media outlet even reported that Washington asked Seoul to legally guarantee Kim's safety to protect him from arrest or overseas travel ban if he enters Korea, warning that, otherwise, the U.S. will not proceed with security and defense discussions, including talks on Korea's plan to build nuclear-powered submarines. A Korean government official said Seoul regards this not as an official position from the U.S. government but a stance by some hard-line members of Congress.