Harold Rogers (L), interim CEO of e-commerce giant Coupang Corp., leaves from a closed-door House of Representatives hearing at the Capitol in Washington, DC, USA, 23 February 2026. The US-listed firm has been under investigation in South Korea over a massive data leak. Photo by YONHAP / EPA
March 10 (Asia Today) — Major U.S. investors in Coupang have withdrawn a petition filed with the Office of the United States Trade Representative requesting a Section 301 investigation into the South Korean government’s treatment of the company.
The investors, Greenoaks and Altimeter, said Sunday that they decided to withdraw the petition after discussions with U.S. trade officials indicated Washington may pursue a broader investigation into Korea’s trade practices affecting American companies.
The firms said in a joint statement that maintaining a complaint focused on a single company had become unnecessary as the U.S. government considers a wider review of potential unfair practices.
They added that recent discussions with U.S. officials confirmed the issue had reached senior levels of both governments.
The investors argued that South Korea is obligated under the Korea-U.S. Free Trade Agreement to ensure digital service laws and policies do not discriminate against American companies.
The dispute stems from a large data breach at Coupang in November that exposed the personal information of about 33.7 million users. Authorities said the attacker accessed roughly 150 million pieces of information, including delivery addresses.
South Korean regulators launched an extensive investigation after the breach, prompting criticism from some investors who say the company has faced discriminatory and punitive treatment.
The investors’ legal representative said the government conducted investigations across several areas – including labor, finance and customs – that were unrelated to the data breach and placed pressure on the company’s operations.
They also cited remarks by Prime Minister Kim Min-seok, who said authorities should restore market order “with the same resolve used to crack down on the mafia,” as evidence of what they described as an adversarial campaign.
South Korea’s government has rejected those claims, saying the matter concerns enforcement of domestic law rather than a trade dispute and that authorities are acting according to legal procedures.
A U.S. trade official said Washington would continue urging South Korea to ensure American digital service companies do not face unnecessary barriers in the Korean market.
The official also said the United States would encourage South Korean authorities to conduct their investigation into the Coupang data breach in a non-discriminatory manner.
Although the Section 301 petition has been withdrawn, the investors said they will continue pursuing investor-state dispute settlement procedures under the Korea-U.S. Free Trade Agreement.
The firms submitted a notice of intent to initiate arbitration in January, triggering a 90-day cooling-off period required before formal proceedings can begin.
Several large investment firms, including Abrams Capital, Durable Capital Partners and Foxhaven Asset Management, have since joined the case, bringing the group’s combined stake in Coupang to about 6.26%.
Analysts say the withdrawal of the petition may signal a shift toward broader U.S. government scrutiny of South Korea’s digital trade policies rather than the end of the dispute.
— Reported by Asia Today; translated by UPI
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