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Qingdao 'Ojum' Controversy Causes Sharp Drop in Chinese Beer Imports... Japanese Beer Imports Increase by 300%

Last Month's Total Beer Imports Up 9.4%

As Qingdao Beer becomes embroiled in a urination controversy, imports of Chinese beer in South Korea have decreased by more than 40%. In contrast, imports of Japanese beer surged by over 300%, securing an overwhelming first place.


'Urination Controversy' Causes 43% Plunge in Chinese Beer Imports
Qingdao 'Ojum' Controversy Causes Sharp Drop in Chinese Beer Imports... Japanese Beer Imports Increase by 300% A large supermarket beer display in downtown Seoul. [Image source=Yonhap News]

According to customs trade statistics on the 16th, last month's imports of Chinese beer amounted to 2,281 tons, a 42.6% decrease compared to the same month last year. The import value also dropped by 37.7% to $1.927 million. Consequently, both the volume and value of Chinese beer imports have been declining for four consecutive months since July.


This appears to be related to the recent urination controversy. On the 19th of last month, a video surfaced on Chinese social networking services (SNS) showing a man allegedly urinating on beer ingredients at a Qingdao Beer production plant in China, sparking public outrage.


In response to the mounting criticism, BeerK, the importer of Qingdao Beer, issued a statement saying, "After confirming with Qingdao Beer headquarters, Qingdao Beer produces domestic and export products at separate factories, and the third factory involved in the controversy produces beer only for the Chinese domestic market," adding that "it is unrelated to the beer distributed domestically."


However, following the 2021 'Naked Kimchi' controversy, another hygiene issue has arisen, leading to a decline in Qingdao sales at convenience stores and other outlets.


Japanese Beer Imports Increase by 303%... Overwhelming First Place
Qingdao 'Ojum' Controversy Causes Sharp Drop in Chinese Beer Imports... Japanese Beer Imports Increase by 300% A customer is selecting beer from the refrigerated display at a Seoul Hanaro Mart store. Photo by Huh Younghan younghan@

On the other hand, imports of Japanese beer continued to surge. Last month, Japanese beer imports reached 7,243 tons, a 302.7% increase compared to the same month last year. The import value rose by 377.4% to $6.139 million.


Although Japan imposed export restrictions in July 2019 in response to the South Korean Supreme Court's ruling on compensation for forced labor victims, which led to a boycott of Japanese beer in South Korea, the movement appears to be weakening.


Due to the sharp increase in Japanese beer imports, South Korea's total foreign beer imports last month amounted to 18,753 tons, a 9.4% increase compared to the same month last year. The import value also rose by 23.6% to $17.348 million.


By country of origin, Japan ranked first with 7,243 tons, accounting for 38.6% of the total, followed by China (2,281 tons), the Netherlands (2,224 tons), the Czech Republic (1,549 tons), Germany (1,367 tons), and the United States (923 tons).


Beer Trade Deficit... Soju Records Surplus

Last month, South Korea's beer exports reached 7,494 tons, an 18.3% increase compared to the same month last year, with export value rising 47.7% to $5.735 million. However, the beer trade balance showed a deficit of $11.613 million.


In contrast to beer, soju recorded a trade surplus. Last month, soju exports increased by 6.3% year-on-year to 6,185 tons, with export value rising 29.4% to $9.454 million. Imports were 25 tons with an import value of $165,000, resulting in a trade surplus of $9.289 million. Japan accounted for 3,160 tons (51.1%) of exports, followed by the United States with 1,020 tons (16.5%).


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