[Alpha Biz= Kim Jisun] Seoul, June 30, 2025 — South Korea’s Fair Trade Commission (FTC) announced that it will conduct a comprehensive written survey starting July 11 to examine potentially unfair business practices in the retail and agency sectors, specifically focusing on “information service fees” charged by large retailers to suppliers.



The investigation will target 42 major retail brands, including Coupang, E-Mart, Homeplus, and GS25, and their 7,600 suppliers and store tenants. In the agency sector, the FTC will survey over 50,000 business operators across 21 industries.



This marks the first time the FTC will collect data on whether suppliers are paying fees in exchange for access to sales data and market analysis from retailers, and whether such fees are being charged excessively or imposed in a coercive manner.



The fees, referred to as “information provision fees,” are paid by suppliers in return for receiving data insights related to their products’ sales performance and broader market trends. However, concerns have been raised that these fees are disproportionately high or not truly voluntary.



In addition to the fee investigation, the FTC will assess whether recent legal reforms — including the 2023 amendment to the Large-Scale Retail Business Act banning certain coercive business practices — have led to improved transactional behaviors in the market. The amendment followed past controversies, such as Coupang's request that suppliers undercut competitor pricing, which previously fell outside the legal scope.



The FTC will also explore the status of franchisee collective bargaining rights, seeking input on the formation of representative groups and gauging sentiment toward introducing collective rights protections for smaller agents and franchisees.



A commission official stated that the probe aims to strengthen fair trade practices and protect smaller business operators from unfair pressure or one-sided contract terms in dealings with dominant retail conglomerates.

 

 

 

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