Fair trade watchdog slaps 500 mln-won fine on Coupang for misleading ads

South Korea’s antitrust regulator has imposed a fine of 500 million won on e-commerce giant Coupang for engaging in deceptive advertising practices. The Korea Fair Trade Commission determined that the company misled consumers by manipulating search rankings and inflating product reviews to favor its own private-label goods. According to officials, these tactics unfairly steered shoppers toward Coupang's proprietary items while obscuring competing products. This regulatory action follows a thorough investigation into the platform's internal algorithms and promotional strategies. The company has faced ongoing scrutiny regarding its market dominance and the transparency of its digital storefront. Coupang is now expected to address these compliance concerns as it faces pressure to ensure a level playing field for third-party sellers.

The decision highlights increasing regulatory efforts to protect consumer interests and ensure fair competition within South Korea's rapidly expanding e-commerce sector.