A report released by the U.S. House Judiciary Committee on Wednesday alleges that the South Korean government has used its regulatory authority to discriminate against American companies, launching an unprecedented crackdown on the online retailer Coupang, Inc.
The report is the result of an investigation initiated by the committee in February. It focuses on the treatment received over decades by Coupang, Inc. (South Korea's largest e-commerce company, headquartered in the U.S.) and other American firms.
Chaired by Republican Representative Jim Jordan of Ohio, the committee states in the report: "Korea's actions are part of a broader attempt by a foreign government to use its laws and regulations to harm U.S. companies and limit their ability to compete in the global economy."
In a statement issued on Wednesday on behalf of the South Korean government, the South Korean Embassy in the U.S. said: "We express regret regarding the interim staff report released by the U.S. House Judiciary Committee, which appears to be based largely on the one-sided assertions of Coupang, and take issue with several descriptions in the report."
The U.S. House Judiciary Committee report notes that Coupang, Inc. has faced discriminatory pressure from the South Korean government, which intensified after a disgruntled former employee leaked data in 2025.
The South Korean government's statement said the leak affected 37.55 million South Korean users. However, according to the U.S. House Judiciary Committee report, the former employee only stored and retained information related to approximately 3,000 accounts.
The U.S. House Judiciary Committee report states that, based on testimony provided to the committee by Coupang, Inc.'s acting CEO Harold Rogers, the company informed South Korean officials that month that the scale of the data breach was smaller than expected and was "limited in nature." Despite this, the South Korean government launched a campaign against Coupang, Inc. that included dozens of investigations, requests for thousands of documents, substantial fines, and threats of criminal charges against Rogers, who is a U.S. citizen.
According to the committee, South Korea's actions against Coupang, Inc. have led to a decline in the company's market value exceeding 40% and could negatively impact its investors.
The report points out, "South Korean regulators have consistently targeted Coupang with adversarial regulatory measures, unfair enforcement actions, and imposing fines far exceeding those levied on its South Korean competitors."
The U.S. House Judiciary Committee report asserts that South Korea's actions against Coupang, Inc. violate U.S.-South Korea trade agreements.
The report says, "South Korea's discriminatory treatment of U.S. businesses directly contravenes its recent trade agreements with the United States."
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