Korea Asks the U.S.: Don’t Turn the Coupang Probe Into a Trade Fight

Advanced | February 3, 2026

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A Real Problem… That Could Become a Bigger Problem

Seoul’s message to Washington

South Korea’s trade minister, Yeo Han-koo, says one thing clearly: Korea’s investigation into Coupang should stay a legal issue — not a trade weapon. In other words, he wants to prevent a Coupang probe trade dispute from spilling into the broader alliance and trade agenda. After attending the World Economic Forum in Davos, Yeo told reporters that he raised this directly with U.S. Trade Representative Jamieson Greer during their meeting on the sidelines of the event. (The Korea Times)

Why Coupang is suddenly “political”

The case started with a major customer data breach. (Reuters) Coupang is listed in the U.S., but it earns most of its money in Korea — around 90% of its revenue comes from South Korea. (The Korea Times; Korea JoongAng Daily) That mix (U.S.-listed, Korea-based business) makes the situation sensitive, because people can easily frame normal enforcement as “anti-U.S.”

The U.S. Complaint: “Is Korea Targeting an American Company?”

Investors push for a U.S. response

Some U.S. investors and lawmakers have argued that Korea is treating Coupang unfairly. (Reuters) In fact, major investors reportedly asked the U.S. government to investigate Korea’s actions and even consider trade countermeasures (the kind of thing that can lead to tariffs or other pressure). (Reuters) That’s exactly what Korea is trying to avoid.

Korea’s counter-argument

Yeo’s response is basically: “If a Korean company caused the same kind of data leak in the U.S., America would investigate too.” (Reuters) His message to U.S. officials: this isn’t discrimination — it’s what any government would do after a huge data incident.

Why the Coupang probe trade dispute Matters for the U.S.–Korea Relationship

Trade talks are already crowded

Korea and the U.S. already have plenty of real trade issues to negotiate — from digital regulations to market access and broader economic policy. Korea doesn’t want a corporate scandal to hijack the trade agenda.

The big risk: a legal case becomes leverage

The danger is simple: once a case becomes part of a trade dispute, it stops being about facts and starts being about bargaining power. That’s why the Coupang probe trade dispute label matters — it can turn regulators into bargaining chips overnight. Korea is trying to keep the investigation transparent, nondiscriminatory, and separate — so the two governments don’t end up fighting over something that should be handled by regulators and courts.

What to Watch Next

Will the U.S. treat it as a trade issue?

If U.S. officials formally treat the Coupang investigation as a trade complaint, things could escalate quickly — including formal reviews, public hearings, or political pressure. If they don’t, this likely stays where it should be: a legal and regulatory matter.

A simple takeaway

For English learners, this is a great example of how governments use careful language: separate, not discriminatory, transparent investigation, not a trade dispute. Those phrases show up all the time in real business and diplomacy.

Vocabulary

Probe (noun) – an investigation into a problem or accusation.
Example: “Korea asked the U.S. not to treat the Coupang probe as a trade dispute.”
Discriminatory (adjective) – treating someone unfairly compared to others.
Example: “Officials said the investigation is not discriminatory toward a U.S.-listed company.”
Nondiscriminatory (adjective) – fair and equal treatment.
Example: “Korea said it would run the same nondiscriminatory investigation for any company.”
Transparent (adjective) – open and easy to understand.
Example: “The minister promised a transparent process.”
Escalate (verb) – to grow more serious or intense.
Example: “Trade tensions could escalate if the case becomes political.”
Countermeasure (noun) – an action taken to respond to another action.
Example: “Some investors urged countermeasures like tariffs.”
Backlash (noun) – strong negative reaction.
Example: “The data breach triggered public backlash.”
Regulatory (adjective) – related to government rules and enforcement.
Example: “The issue began as a regulatory response to a data leak.”
Leverage (noun) – power used to influence a negotiation.
Example: “Trade cases can become leverage in negotiations.”
Bilateral (adjective) – involving two countries.
Example: “Bilateral trade issues were discussed at Davos.”

Discussion Questions (About the Article)

Why does Korea want to keep the Coupang investigation separate from trade talks?
What makes Coupang a sensitive case in U.S.–Korea relations?
What argument did Korea’s trade minister use to defend the investigation?
Why might some U.S. investors want the U.S. government to get involved?
What do you think happens when legal issues become “trade leverage”?

Discussion Questions (About the Topic)

Should governments treat foreign-owned companies differently from domestic companies? Why or why not?
What’s the best way to protect consumers after a major data breach?
When does regulation become “political pressure,” in your opinion?
How can two countries prevent business disputes from damaging diplomacy?
What kinds of rules should tech and e-commerce companies follow to protect customer data?

Related Idiom / Phrase

“Keep politics out of it” – don’t let politics interfere with a practical issue.

Example: “Korea is basically saying: keep politics out of it and let regulators handle the data-breach case.”

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This article was inspired by: The Korea Times, Reuters, and Korea JoongAng Daily.