Last Year's Indoor Air Freshener Exports Hit Record High... "Focus on China and Japan Markets"

[Asia Economy Reporter Jeong Hyunjin] Last year, due to the impact of COVID-19 and the increase in remote work, exports of indoor air fresheners recorded an all-time high.

The Korea International Trade Association (KITA) International Trade and Commerce Research Institute announced on the 25th through the "Promising Items Artificial Intelligence (AI) Report - Indoor Air Fresheners" that Korea's indoor air freshener export volume last year increased by 86.3% compared to the previous year, reaching $44 million (approximately 48.9 billion KRW), marking the largest scale ever. This is about four times the level compared to 2015.

KITA analyzed, "As indoor living increased due to remote work, global demand for products that relieve stress and provide mental and physical comfort also rose. In particular, as the 'chabak (car + lodging)' culture spread and the use of private cars increased instead of public transportation, demand for indoor vehicle air fresheners also grew."

With the demand for indoor air fresheners increasing like this, interest in markets with high growth potential is expected to rise. KITA analyzed nine indicators including GDP, import clearance index, import volume, and tariff rates of 58 major countries using artificial intelligence (AI). The market with the highest export potential for indoor air fresheners was China (86.4 points), followed by Japan (82.2 points), the United States and Taiwan (80.2 points), and Germany (79.3 points).

The size of China's indoor air freshener import market is $95.37 million, ranking third in the world after the United States ($338.4 million) and Japan ($226.94 million). Notably, the market share of Korean indoor air fresheners in China has been expanding. This share, which was 5.7% in 2018, increased to 6.7% last year. Meanwhile, the market share of the United States, a competitor, decreased from 30.5% to 22.2% during the same period in China.

In the case of Japan, Korean indoor air fresheners are the most exported products. Last year, exports to Japan increased by 264.6% compared to the previous year, reaching $24.15 million, accounting for 54.9% of total indoor air freshener exports.

Kang Naeyeong, senior researcher at KITA, said, "We need to secure competitiveness by developing indoor air freshener products that combine practicality and aesthetics, making indoor spaces comfortable and fragrant while also serving as interior accessories." He added, "Efforts should also be made to develop differentiated products reflecting the growing awareness of eco-friendly materials and integrating smart technologies."