Coupang Under Fire: Allegations, Investigations, and Bilateral Strain

South Korean authorities allegedly discriminated against Coupang following a data breach, says the U.S. House Judiciary Committee. They claim multiple investigations are part of this discrimination, opposing recent trade agreements. South Korean officials dispute these claims, framing them as one-sided. The report highlights impactful consequences on U.S.-South Korea relations.

The U.S. House Judiciary Committee has alleged consistent discrimination against U.S.-based e-commerce firm Coupang by South Korean authorities. The claim, highlighted in an interim report, follows intensified scrutiny and investigations after a major data breach at Coupang last year.

The report accused South Korea of violating a bilateral trade agreement by escalating the scrutiny into a 'government assault'. The allegations have been denied by South Korean government spokespeople, who claimed the report put undue weight on Coupang's assertions despite months of negotiation and communication.

Following the breach that exposed millions of customer accounts, over ten South Korean agencies reportedly engaged in extensive questioning of Coupang employees and requested thousands of documents. Furthermore, a recovery operation linked to the breach drew pressure, with Coupang disputing claims of being coerced into the operation. The issue has sparked tension between the two nations.