South Korea Hits Coupang, Woowa Brothers With $464 Million in Antitrust Fines

The Korea Fair Trade Commission proposed a 300.8 billion won ($222 million) penalty against U.S.-listed e-commerce company Coupang and a 331.1 billion won ($242 million) fine against Woowa Brothers, which operates the Baemin delivery platform, according to Agence France-Presse (AFP), as reported by Yahoo News.

The penalties, totaling 631.9 billion won, target two companies that collectively control more than 90% of South Korea’s food-delivery market, according to the regulator.

Authorities found that both platforms imposed commercial conditions that prevented participating restaurants from offering lower prices, discounts or more favorable terms through competing delivery services.

The commission said the practices weakened competition, contributed to higher food prices and commissions, and made it more difficult for smaller delivery platforms to attract restaurants and customers, AFP reported.

According to the regulator’s findings cited by AFP, Coupang applied the restrictions between July 2023 and January 2026. Restaurants that failed to comply risked losing access to promotional benefits associated with the company’s paid membership program.

Woowa Brothers was accused of implementing similar requirements through Baemin between May 2024 and October 2025, including conditions governing restaurant prices and minimum order amounts.

Related: Coupang Faces Antitrust Pressure Over Supplier Practices

The regulator concluded that the arrangements restricted merchants’ ability to independently determine their pricing strategies across different delivery applications, while reinforcing the market positions of the two leading operators.

Coupang rejected the commission’s assessment, arguing that its practices were designed to improve consumer benefits rather than restrict competition.

The company said its entry into the food-delivery market in 2019 helped challenge an industry previously dominated by a competitor with a market share exceeding 80%, according to AFP.

Coupang maintained that its expansion increased competition and consumer choice, disputing the regulator’s characterization of its business practices.

The company indicated that it would review the commission’s final decision and consider legal options to challenge the findings.

The proposed penalties remain subject to final determination, with the commission expected to confirm the amounts before issuing its formal written ruling, AFP reported.

The antitrust action adds to regulatory pressure on Coupang following a separate dispute involving a major customer data breach.

Earlier in 2026, South Korean authorities imposed a record 624.68 billion won penalty against the company over the incident, a decision Coupang is contesting in court, according to AFP.

The data-related enforcement action also generated political tensions between Seoul and Washington, with some Republican lawmakers criticizing South Korea’s regulatory treatment of the U.S.-listed company.

Nearly 100 South Korean legislators responded in April by objecting to what they described as inappropriate pressure from American politicians, AFP reported.

The latest competition ruling places additional scrutiny on the commercial arrangements governing South Korea’s food-delivery industry, where major platforms play a significant role in connecting restaurants with consumers.

The regulator maintains that restrictions preventing restaurants from offering different prices or promotional conditions across competing services can weaken market competition and limit opportunities for smaller operators.

The final financial penalties and any subsequent legal challenges will determine the immediate consequences for Coupang and Woowa Brothers, as South Korean authorities continue examining the market practices of major digital platforms.