Washington: More than 50 U.S. Republicans have called on South Korea to cease what they describe as a "targeted assault" on American companies, such as Coupang Inc., through discriminatory regulations. The lawmakers argue that this could inadvertently assist Chinese firms in gaining a competitive edge.
According to Yonhap News Agency, the group of lawmakers issued their concerns in a letter addressed to South Korean Ambassador to the U.S., Kang Kyung-wha. They urged South Korea to uphold its commitment to avoiding unnecessary legal and policy obstacles, as agreed upon during the summit between the two countries' leaders last year.
The letter, signed by 54 members of the Republican Study Committee, expressed alarm over the South Korean government's actions perceived as discriminatory against U.S. companies. The lawmakers highlighted that American tech firms have encountered various regulatory measures that appear aimed at penalizing them while protecting Korean competitors.
Coupang Inc., a U.S.-listed e-commerce company, was specifically mentioned in the letter. The lawmakers criticized the scrutiny faced by Coupang in South Korea following a significant data breach affecting over 30 million customers' personal information. They alleged that the South Korean government is using this incident as a pretext to unfairly target Coupang.
The Republicans further warned that such actions against American companies could inadvertently benefit Chinese firms with strong governmental ties, posing "unacceptable security consequences." They emphasized that despite the U.S.-South Korea joint fact sheet in which Seoul agreed not to disadvantage American companies, this commitment appears to have been disregarded by South Korea.
In their letter, the lawmakers concluded by demanding an immediate cessation of what they termed the "targeted assault" on American businesses.