# South Korea Imposes Record $470 Million Fine on Major Delivery Apps

Regulators penalize Baemin and Coupang Eats for abusing market dominance through anti-competitive pricing mandates.

- **Source:** [Maeil Business](https://www.mk.co.kr)
- **Published:** 2026-11-09
- **Topic:** [Business](https://brifing.si/c/business)
- **Original article:** <https://www.mk.co.kr/news/business/12203044>
- **On Brifing:** https://brifing.si/s/3136544b-f16e-436a-9680-aecc0f81dcf5

## Record Antitrust Enforcement

South Korea’s Fair Trade Commission has imposed a combined 631.9 billion won fine on Baemin and Coupang Eats. Woowa Brothers, operating Baemin, faces 331.1 billion won, while Coupang must pay 300.9 billion won. This marks the first time regulators have sanctioned delivery platforms for abusing their dominant market position.

## Mandatory Price Parity Tactics

Regulators identified that both platforms forced restaurants to adopt 'most-favored-nation' clauses. Merchants were required to match menu prices, minimum order amounts, and delivery fees found on rival apps. Those refusing to comply faced exclusion from premium services, effectively stripping them of the ability to set independent business terms.

## Rapid Compliance and Market Control

Pressure tactics led to a surge in compliance among vendors. For Coupang Eats, the proportion of restaurants meeting these strict requirements jumped from 13% in July 2023 to 94% by October 2025. Baemin implemented similar measures to counter competition, pushing its compliant store ratio from 63% to 80% within a year.

## Direct Impact on Consumers

These anti-competitive practices directly inflated consumer costs. Average minimum order amounts on Baemin rose by 4.7% following Coupang’s actions, while Coupang saw a 4.3% increase after Baemin’s retaliatory policies. Furthermore, apps manipulated interface displays and delivery time estimates to steer users toward higher-commission, company-operated delivery services over independent options.

## Market Concentration and Exclusion

With a combined market share of 92.9%, the two giants effectively stifled competition. While their transaction volumes grew by 14% to 16%, smaller delivery apps suffered volume declines of 15% to 25%. Independent delivery agencies were particularly hard hit, with some firms forced to exit the market entirely due to these practices.

## Coupang’s Legal Counter-Strategy

Coupang plans to challenge the ruling in court, labeling the fine excessive and 600 times larger than a 2020 precedent involving Yogiyo. The company argues the regulator included unrelated revenue in its calculation. This dispute intensifies existing friction, following a separate 624 billion won fine issued against Coupang in June.

## Baemin’s Regulatory Stance

Woowa Brothers expressed disappointment that their arguments regarding the legality of their conduct were not accepted by the commission. Unlike Coupang, the company has not explicitly announced a legal challenge, stating instead that it will review the formal decision and continue efforts toward mutual growth with its restaurant partners.

## Broader Regulatory Implications

This ruling signals a shift toward aggressive oversight of platform-based business models in South Korea. By targeting the mechanisms of price control and market exclusion, the commission aims to curb the dominance of major apps. Future regulatory scrutiny will likely focus on how these platforms manage vendor relationships and data transparency.

## Sources covering this story

- [Source — South Korea Fines Delivery Apps $470 Million for Anti-Competitive Practices](https://www.mk.co.kr/news/business/12203044)
- [The Straits Times – Asia — South Korea Fines Coupang $284 Million for Market Dominance Abuse](https://www.straitstimes.com/asia/east-asia/south-korea-fines-coupang-284-million-for-abusing-dominance-in-food-delivery-market)

---

_Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._
