South Korea Defends Revised Network Act Amid US Concerns

SEOUL, July 10 (Yonhap) -- The foreign ministry said Friday the revised network act does not contain discriminatory provisions against foreign companies, and it will continue consultations with the United States to address concerns about the legislation.

The revised Information and Communications Network Act, which took effect Tuesday, requires major online platform operators, including Naver, Kakao, Google, Meta and X, to remove or block false and manipulated information.

In response, a U.S. State Department spokesperson called on Seoul on Thursday (U.S. time) not to impose "disproportionate" burdens on American firms under the revised law, while warning its implementation could lead to excessive content regulation and undermine free speech.

"The amendment was introduced to address social harms arising from changes in the digital environment and strengthen user protection," the ministry said in a press guidance.

"It does not contain discriminatory elements against either domestic or foreign firms and respects freedom of expression as guaranteed under the Constitution."

The ministry stressed the government has sought to explain the purpose and details of the legislation to the U.S. and other major stakeholders, and will maintain necessary communication with the U.S. side during its implementation process.

Along with key bilateral pending matters, the issue may be discussed at high-level talks between Seoul and Washington to be held in the Philippines on the sidelines of the ASEAN Regional Forum (ARF) later this month, according to sources.

The issue surrounding the act came amid tensions involving e-commerce giant Coupang Inc., renewing concerns about their potential impact on broader relations between the allies.

Last week, a U.S. House Judiciary Committee report and a White House official criticized South Korea's regulatory probes into Coupang's massive data leak as discriminatory toward U.S. companies.

The Seoul government, however, expressed regret over the claims, stressing that investigations and regulatory measures concerning Coupang have been implemented "in a fair and non-discriminatory manner" under the law.

Coupang has come under public scrutiny and regulatory investigation over a massive data leak that is believed to have affected more than 33 million users in South Korea.

"South Korea and the U.S. agreed during follow-up consultations in June on the joint fact sheet adopted after their leaders' summit to accelerate discussions aimed at producing substantive outcomes as early as possible. The two sides plan to remain in close contact and hold meetings as needed," the foreign ministry said.

The consultations center on Seoul's push to acquire a nuclear-powered submarine and secure capabilities for civil uranium enrichment and spent nuclear fuel reprocessing, with a second round of talks expected to be held in July.