South Korea

Yonhap | English | News | Jan. 16, 2026 | Geopolitical Conflict and Disputes

South Korean Trade Minister Yeo Han-koo has engaged with U.S. lawmakers and officials in Washington to ease concerns over South Korea's investigation into a major data breach at American-listed Coupang Inc. Yeo emphasized that the investigation, which is based on related laws, should not be misinterpreted as a trade dispute between South Korea and the U.S. During his meetings, Yeo addressed concerns from U.S. policymakers who described Korean regulatory actions toward Coupang and other U.S. tech firms as potentially discriminatory.

Coupang, founded by Korean American Bom Kim, recently experienced a data leak affecting around 34 million customers, or nearly two-thirds of South Korea's population. Despite being U.S.-listed, the company generates 90 percent of its sales in Korea. Yeo also discussed broader trade issues, including non-tariff barriers and the implications of a pending U.S. Supreme Court ruling on the legality of reciprocal tariffs imposed during the Trump administration.

In talks with U.S. Trade Representative Jamieson Greer, Yeo stressed the importance of South Korea not facing discriminatory treatment in light of the Supreme Court's decision, highlighting South Korea's status as one of the few countries with a trade agreement with the U.S. Yeo concluded by reaffirming Seoul's commitment to maintaining open communication with the U.S. government, Congress, and industries to manage risks related to digital trade and tariff policies.

Hankyoreh - E | English | News | Jan. 16, 2026 | Geopolitical Conflict and Disputes

President Lee Jae Myung and Japanese Prime Minister Sanae Takaichi held a summit in Nara, Japan, emphasizing the importance of Korea-Japan cooperation and trilateral collaboration with the US to address rapidly changing international conditions. Both leaders agreed on the need for coordinated responses to the Korean Peninsula situation and discussed a broad range of regional and global issues. Lee highlighted the necessity for South Korea, China, and Japan to find common ground, communicate, and cooperate to maintain regional peace and stability.

The summit took place amid escalating tensions between China and Japan, following Japan’s consideration of military intervention in a Taiwan contingency and China’s subsequent military and economic pressure on Japan, including restrictions on rare earth exports. Lee stressed South Korea’s neutral stance, affirming the equal importance of relations with both China and Japan and expressing a desire to play a stabilizing role without taking sides.

The two leaders also reaffirmed their commitment to the complete denuclearization of the Korean Peninsula and the establishment of lasting peace, agreeing to continue close coordination on North Korea policy. Takaichi acknowledged Lee’s support regarding the resolution of the abductions issue involving Japanese citizens taken by North Korea. Discussions on supply chain cooperation were held, particularly concerning China’s rare earth export restrictions to Japan, though Lee avoided directly addressing this sensitive topic.

한·미 '디지털 규제' 평행선...통상압박 연결 우려

ET News | Local Language | News | Jan. 16, 2026 | Regulation

On January 13, 2026, Yeoh Han-gu, Director General for Trade Negotiations at South Korea's Ministry of Trade, Industry and Energy, met with U.S. Congress members and officials in Washington DC to address concerns about South Korea's digital and platform regulations. The U.S. Congress criticized these regulations as discriminatory against American companies and suggested they might violate the Korea-U.S. trade agreement, with some members labeling actions related to the Coupang data breach as a "witch hunt" and likening legislative efforts to "censorship laws."

During his Washington visit, Yeoh engaged with key U.S. lawmakers, officials from the U.S. Trade Representative, influential think tanks such as CSIS and ITIF, and industry groups including the U.S. Coalition of Service Industries and National Foreign Trade Council. He emphasized that South Korea's regulations aim to protect public interest by preventing platform market abuse, safeguarding personal data, and strengthening user rights, applying equally to domestic and foreign companies, and cited enforcement in the Coupang case as legitimate legal action.

Despite these engagements, U.S. political circles remain skeptical, perceiving the regulations as targeted restrictions disproportionately affecting U.S. tech firms, raising concerns about non-tariff barriers, and hinting at potential trade investigations under Section 301 of the Trade Act. The situation has sparked worries that digital regulation could evolve into a broader source of economic uncertainty and strain Korea-U.S. trade relations.

In South Korea, lawmakers have responded with calls for a parliamentary investigation into Coupang. Research institutes, such as the Korea Institute for Industrial Economics and Trade, identify economic risks from digital regulation and trade pressures as the primary external threat to the Korean economy in 2026. Experts recommend developing mid- to long-term strategies that reconcile South Korea’s digital policy goals with international trade norms, highlighting the need to clearly communicate that regulations are non-discriminatory and modeled on universal standards like those of the European Union.