More U.S. Investors Join Arbitration Against South Korea Over Coupang Dispute

Three additional U.S. investment firms have joined Greenoaks and Altimeter Capital in launching a legal challenge against the government of South Korea, escalating an international dispute centered on e-commerce giant Coupang. Abrams Capital, Durable Capital Partners, and Foxhaven have formally notified Seoul of their intent to pursue arbitration, aligning themselves with the earlier claims filed by Greenoaks and Altimeter, according to a statement released Wednesday.

The investors allege discriminatory treatment against Coupang and other U.S. companies operating in South Korea. The legal action claims the South Korean government initiated a targeted campaign against Coupang following a major consumer data breach that reportedly compromised the personal information of approximately 33 million users. The incident, disclosed by Coupang in November, triggered public backlash, regulatory scrutiny, multiple lawsuits, and broader international tensions. Investors argue that the government’s response caused billions of dollars in financial losses.

In addition to arbitration efforts, the new investors have submitted letters supporting a petition urging the U.S. government to investigate South Korea’s actions. Neil Mehta, founder and managing partner of Greenoaks, stated that U.S. policymakers and investors increasingly recognize the need to defend American companies facing alleged foreign discrimination.

Founded in 2010 by Korean-American entrepreneur Bom Kim, Coupang has grown into South Korea’s leading e-commerce platform, surpassing established conglomerates such as Shinsegae. The company has expanded beyond online retail into food delivery, streaming services, and fintech, solidifying its role in the country’s digital economy.

South Korea’s Justice Ministry responded by affirming that the government will address the arbitration notices systematically and professionally through its International Investment Dispute Response Team.

The dispute has intensified U.S.–South Korea trade tensions, with President Donald Trump threatening tariffs of up to 25%. Meanwhile, the U.S. House Judiciary Committee recently subpoenaed Coupang as part of its investigation into alleged discrimination against American firms.