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A growing diplomatic rift between South Korea and the United States has centered on the investigation into Coupang, the U.S.-listed e-commerce giant, with lawmakers from both countries trading accusations over the fairness of Seoul's regulatory actions.

Coverage Comparison

U.S. Republican lawmakers have accused South Korea of conducting a "targeted assault" on American companies, including Coupang, through discriminatory regulations. In a letter dated April 21, 54 members of the Republican Study Committee urged Seoul to halt what they described as unfair treatment, warning that such actions could benefit Chinese competitors and pose security risks.

South Korean officials have pushed back firmly. National Assembly Speaker Woo Won-shik called the U.S. claim "interference in domestic affairs," while the foreign ministry said in a statement that investigations into Coupang are being carried out "in accordance with domestic law and due process" and conducted "in a non-discriminatory manner regardless of nationality."

More than 80 lawmakers from South Korea's ruling bloc have also planned to send their own letter to the U.S. Embassy in Seoul, protesting what they see as undue pressure and an infringement on judicial sovereignty.

Key Claims

  • According to multiple reports, 54 Republican members of the U.S. House sent a letter to South Korean Ambassador Kang Kyung-wha on April 21, urging Seoul to end what they called "discriminatory regulatory actions" against American tech companies, including Coupang. The letter warned that such actions could help Chinese firms gain market dominance.
  • South Korean officials, including the foreign ministry and National Assembly Speaker Woo Won-shik, have denied the allegations. Woo was quoted by the South China Morning Post as saying that if U.S. Republicans consider the investigation discriminatory, "it means they do not respect Korean laws." The ministry said Seoul has been "fully implementing its commitment to not subject U.S. digital companies to discriminatory actions or unnecessary barriers."
  • The investigation into Coupang stems from a massive data breach affecting more than 33 million users, first reported in November. The company has also faced allegations of algorithm rigging, according to the South China Morning Post.
  • In response, 83 lawmakers from South Korea's ruling Democratic Party and smaller progressive parties have prepared a joint letter to the U.S. Embassy, arguing that U.S. demands regarding Coupang Chairman Kim Bom-suk's safety amount to a "clear infringement on judicial sovereignty," as reported by Yonhap.

Perspectives

U.S. Republican Lawmakers

The Republican Study Committee letter described South Korea's actions as "targeted and discriminatory," arguing that Seoul was using the data breach as a pretext to attack Coupang. The lawmakers also expressed concern that such treatment would "cede ground to Chinese companies," leading to "unacceptable security consequences."

South Korean Government and Lawmakers

Seoul has maintained that the investigation is fair and lawful. The foreign ministry said it would continue to explain its position to the U.S. Congress. National Assembly Speaker Woo Won-shik urged U.S. Republicans not to "meddle in Korea's legal affairs," while the planned letter from ruling bloc lawmakers condemned U.S. pressure as an infringement on sovereignty.

Diplomatic Context

The dispute has raised broader questions about the U.S.–South Korea alliance. Some South Korean lawmakers have alleged that Washington linked security talks, including discussions on nuclear-powered submarines, to the Coupang case. Seoul has denied any such connection, stating that security consultations are unrelated to the investigation.

Outlook

The foreign ministry said the embassy has replied to the U.S. lawmakers' letter under Ambassador Kang's name, reiterating that the investigation is being conducted fairly and in line with domestic law. The ministry added that it would continue its outreach to ensure its position is clearly understood. The planned letter from South Korean lawmakers, expected to be delivered to the U.S. Embassy in Seoul, signals that the dispute is unlikely to subside quickly.