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3 more U.S. firms invested in Coupang to pursue legal action against Seoul

Published: 12 Feb. 2026, 15:46 Updated: 12 Feb. 2026, 19:45

Coupang trucks are parked at a logistics center in Seoul on Feb. 10. [YONHAP]

Three more U.S. firms invested in Coupang are pursuing legal action against the Korean government over what they describe as a discriminatory approach to the U.S.-listed e-commerce company. As Republican lawmakers in the U.S. House of Representatives call for an investigation, the data leak of the platform's Korean affiliate is now turning into a much larger whirlwind of politics and legal disputes.

Abrams Capital, Durable Capital Partners and Foxhaven announced Wednesday that they had joined the legal action against Seoul. The three firms claimed “years of selective government enforcement, disproportionate regulatory scrutiny and false and defamatory claims targeting Coupang" that resulted in "billions of dollars of lost market capitalization borne by U.S. shareholders and threatens to cause additional losses if not remedied," according to the three companies.

Previously, Greenoaks and Altimeter, U.S. investment firms holding stakes in Coupang, sent a notice of intent on Jan. 22 to initiate international investment dispute settlement arbitration against Korea's Ministry of Justice. They argued that the Korean government had treated Coupang in a discriminatory manner in violation of the Korea-United States FTA and that they suffered losses, including a decline in share prices.

Abrams Capital, Durable Capital Partners and Foxhaven indicated that they would join the process by adopting the same notice of intent to arbitrate. However, the three firms have only provided formal prior notice before the start of arbitration proceedings and have not yet filed for actual arbitration. They may formally initiate arbitration 90 days after submitting the notice of intent.

In addition, Greenoaks and Altimeter petitioned the Office of the United States Trade Representative to investigate what they described as Korea’s unjust and discriminatory actions under Section 301 of the U.S. Trade Act and to take appropriate trade remedy measures.

“Over the past several weeks, it has become clear that both U.S. policymakers and U.S. investors recognize the importance of standing up for American companies in the face of discrimination by foreign countries,” said Neil Mehta, founder of Greenoaks. “We are pleased to have Abrams Capital, Durable Capital Partners and Foxhaven join us in demanding that President Lee’s administration honor its free trade commitments with the United States and end its administrative assault on Coupang without delay.”

Delivery trucks for e-commerce retailer Coupang leave a distribution center in Seoul on June 21, 2018. [REUTERS/YONHAP]

The moves by U.S. investment firms are expected to add further pressure on the Korean government. The House Judiciary Committee plans to hear from Harold Rogers, Coupang’s interim chief executive, on Feb. 23 as part of its investigation into the matter. The Republican Study Committee, a group of Republican lawmakers in the House, posted on X that it is "working tirelessly to ensure American tech companies are treated fairly."

U.S. political outlet Axios described the issue as “a flashpoint in U.S.-South Korea relations, and could impact U.S. investment in South Korean companies,” in a report. It argued that the incident could also impact Toss, which seeks to go public on the Nasdaq market this year.

Korea's Justice Ministry said Thursday that it would “make every effort to respond systematically and professionally, centered on the International Investment Dispute Response Team" regarding the additional legal actions by Abrams Capital and others.

The Korean government maintains that it responded to the customer data breach at Coupang in accordance with the law and procedures and that there was no discriminatory treatment of a U.S. company.

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY LEE SEUNG-HO [[email protected]]