South Korean PM tells US lawmakers Seoul is not discriminating against Coupang

South Korean PM tells US lawmakers Seoul is not discriminating against Coupang

Kim Min-seok denies allegations from two investors who have intensified a dispute with Seoul regarding alleged data leaks.

South Korean Prime Minister Kim Min-seok (right-centre) attending a luncheon meeting with US lawmakers at Capitol Hill in Washington. (EPA Images pic)
SEOUL:
South Korean Prime Minister Kim Min-seok has told US lawmakers that his country was not discriminating against US-listed e-commerce company Coupang, rejecting claims from two of its investors who have escalated a dispute with Seoul over data leaks.

Two major US investors in Coupang Inc said on Thursday they have petitioned the US government to investigate the South Korean government and potentially impose trade remedies over what they describe as discriminatory treatment of the e-commerce company.

Tech investors Greenoaks and Altimeter said they have also filed arbitration claims against South Korea under the US–Korea Free Trade Agreement (KORUS), accusing Seoul of mounting a campaign against Coupang following a consumer data breach that has caused billions of dollars in losses for investors.

Coupang, which generated most of its revenue in Korea, disclosed in November that personal data for some 33 million customers in South Korea were compromised, triggering a backlash from lawmakers and the public.

The data leak has prompted a wide-ranging investigation as well as lawsuits from investors and consumers.

“There is absolutely no discrimination against Coupang. The US-Korea relationship is based on trust, so there’s no need to worry about discriminatory treatment,” Kim said.

The prime minister was responding to questions from some US lawmakers about Coupang during his visit to the US, his office said in a statement.

Referring to the US arrest of hundreds of Korean workers in Georgia after an immigration raid in September, he said Seoul does not believe the incident was because of discrimination against Korean workers. “Likewise, the action against Coupang is not because it is an American company,” he said.

South Korea’s justice minister said it will closely review legal matters related to the notice of letter that Coupang has submitted and “actively respond” to the move.

Coupang said it has nothing to do with the legal dispute and is cooperating with the government probe.

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