Coupang political donations shift toward Democrats ahead of U.S. midterms

Even as Republican lawmakers lead a congressional push to defend Coupang against Korean regulators, the e-commerce giant’s political action committee has been sending more of its money to Democrats.

Donations to Democrats from the Coupang, Inc. Company PAC (Coupac) rose 62.5 percent to $32,500 in July through September from $20,000 a year earlier, according to its third quarter filing with the U.S. Federal Election Commission on Oct. 15. Contributions to Republicans fell to $15,000 from $16,478.19 over the same period.

The shift appears to be a hedge against a possible change in congressional control after the Nov. 3 midterm elections, as inflation fueled by the war in Iran puts pressure on Republicans, who hold majorities in both the House and Senate.

The trend extends beyond the third quarter. Coupac's donations to Democrats totaled $102,000 from January through September, a 45.7 percent increase from $70,000 a year earlier. Contributions to Republicans declined to $83,000 from $86,478.19 last year.

The figures combine direct donations to lawmakers and candidates, contributions to other political action committees (PAC) and donations to four party campaign committees: the National Republican Senatorial Committee, National Republican Congressional Committee, Democratic Senatorial Campaign Committee and Democratic Congressional Campaign Committee.

As a result, the balance of Coupac's giving has flipped. Republicans accounted for 55.3 percent of its donations from January through September last year, but Democrats captured 55.1 percent over the same period this year. Republicans still received more in the first quarter, though Democrats pulled well ahead in the following two quarters.

The war in Iran has become a political liability for Republicans ahead of the midterms. The Donald Trump administration launched airstrikes in late February, and Tehran swiftly responded by closing the Strait of Hormuz. Trump initially projected a four-to-five-week military campaign, but the conflict has dragged on, and it is now driving up household expenses.

The nonpartisan Cook Political Report has rated Democrats as favored in the midterms since early this year. In late April, it gave Democrats the edge based on voter data from 36 competitive districts, and in June it found Democrats better positioned to retake the House even after accounting for Republican-friendly redistricting.

Coupac’s growing tilt toward Democrats this year tracks those projections. With the Coupang dispute now spilling over into Korea-U.S. security cooperation, the company’s quick move to cover both parties ahead of the midterms suggests a change in congressional control alone may do little to shift the situation.

Some in Korea believe a Democratic House could ease U.S. pressure on Seoul over Coupang, but the situation may prove harder to resolve.

Among individual donations, a new contribution to House Minority Leader Hakeem Jeffries stands out. Coupac gave $5,000 to Jeffries’ campaign committee on Sept. 30, its first donation to him since the PAC was formed in 2024. Jeffries is the likely speaker if Democrats win the House.

Coupac also stepped up giving to PACs run by or supporting Democratic lawmakers. In the third quarter, it gave $5,000 to a PAC tied to Sen. Ron Wyden, $2,500 to a PAC tied to Rep. Marilyn Strickland and $5,000 to a PAC tied to Rep. Dave Min, both Korean American. It also gave $5,000 to the PAC of the Blue Dog Coalition, a caucus of centrist and conservative House Democrats. Including those, Coupac’s donations to other Democratic-aligned PACs totaled $32,500 from January through September, 6.5 times the $5,000 a year earlier.

At the same time, Coupac kept funding individual Republican lawmakers.

In the third quarter, Coupac donated $5,000 each to Republican Reps. Rob Wittman and Bill Huizenga, and $2,500 each to Reps. Mike Turner and Nathaniel Moran.

Coupac also donated $1,000 in January to Rep. Scott Fitzgerald, a House Judiciary subcommittee chairman who led a congressional investigation into whether Korean regulators discriminated against U.S. technology companies, including Coupang.

Coupac donated $5,000 last November to Rep. Darrell Issa, another House Judiciary Committee member who has criticized Korea's handling of Coupang.

Republicans on the House Judiciary Committee stepped up their investigation into Korea’s treatment of Coupang early this year. Their interim report, released in July, alleged that the Korean government had singled out the company for discriminatory treatment.

Coupac is funded by voluntary contributions from eligible individuals, including the e-commerce platform’s employees, who can donate up to $5,000 annually. From January through September, Coupang founder and Chairman Bom Kim contributed $3,653.70 to Coupac, while General Counsel Harold Rogers gave $3,735. Coupac can give up to $5,000 per candidate per election, primary and general.

Coupang has also kept up its lobbying of the U.S. administration and Congress, spending $1.25 million in the third quarter, down 2.3 percent from $1.28 million in the second quarter, according to its latest lobbying disclosure.

The lobbying campaign reached across Washington, from the House and Senate to the State, Commerce, Treasury and Agriculture departments, as well as the Office of the U.S. Trade Representative and the National Security Council.

Coupang focused on digital trade and e-commerce, legislation to strengthen cooperation among Korea, the United States and Japan, and a proposal to expand professional visa opportunities for Koreans.

A new addition to Coupang’s lobbying agenda this quarter was the U.S.-Taiwan Expedited Double-Tax Relief Act (H.R. 33), which would give U.S. companies doing business in Taiwan benefits similar to those under a tax treaty.

Coupac gave $20,000 from January last year through September to Rep. Jason Smith, the Republican chairman of the House Ways and Means Committee, and affiliated PACs. Smith, who introduced the Taiwan tax bill, has publicly criticized Korea’s treatment of Coupang as unfair.

BY YOO JEE-HYE, KANG TAE HWA [[email protected]]