Congresswoman Carol Miller (R-WV) addressed a Ways and Means digital trade hearing today, emphasizing the need to protect American innovation by establishing and enforcing strong digital trade rules. During her remarks, Miller expressed concerns about potential Korean digital policies that could negatively impact U.S. businesses and national security in the Indo-Pacific region.
"Korea may soon pass online platform laws and regulations that would make it difficult for U.S. companies to operate in their country," said Miller. "I am very concerned that such an important, strategic ally like the Republic of Korea is pursuing economic policies that target and discriminate against U.S. technology companies while welcoming state-owned Chinese companies with open arms."
Miller highlighted the significant role of Chinese firms in Korea's tech industry, noting their partnerships with influential Korean monopolies. She stressed the importance of maintaining strong technology partnerships as established in the free trade agreement between the two countries, which she described as "the second largest Free Trade Agreement (FTA) by trade flows, second only to the United States-Mexico-Canada Agreement (USMCA)."
The Congresswoman questioned Robert D. Atkinson, President of Information Technology and Innovation Foundation (ITIF), about how China might benefit from these Korean policies and their potential impact on the United States.
"Can you explain how China wins if Korea pursues economic discrimination policies against the United States?" asked Miller. "Do you believe that Korea is assisting them in their growth?"
Atkinson responded by describing his experience with restricted access to Google Maps in Korea due to national security claims, which he suggested were more about favoring domestic companies. He warned that similar regulations could benefit both Korean and Chinese firms at the expense of American businesses.
"They're willing to make that trade-off because they think it's going to benefit their companies more, and it'll hurt our companies," said Atkinson. "This will benefit Chinese companies and make them stronger."
Miller also raised concerns about national security implications related to U.S. foreign policy in the Indo-Pacific if economic ties with strategic allies weaken as they grow closer to China.
"The fundamental question I think in, in the Indo-Pacific is, are these countries going to gradually move over into the China orbit or are they going to stay in the Western democratic market orbit?" said Atkinson. He emphasized that South Korea must choose sides given its reliance on U.S. defense and technology partnerships.
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