[Click eStock] "Cosmetics Exports Expected to Hit Record High This Year"

"Inglewood Lab and Manyeogongjang Expand Entry into the US"

Ebest Investment & Securities stated on the 8th, "Cosmetics exports have started this year with a sharp upward trend. We expect to break the annual record for cosmetics exports."

On the same day, Jiwoo Oh, a researcher at Ebest Investment & Securities, said, "From January this year to last month, cosmetics export value recorded $2.3 billion (approximately 3.1 trillion KRW), a 21.7% increase compared to last year. This is the highest performance ever for the first quarter, showing a sharper upward trend this year following last year's export rebound."

Foreign tourists visiting a cosmetics store in downtown Seoul on the 3rd. [Image source=Yonhap News]

Cosmetics exports reached a record high of $9.2 billion in 2021 but slowed down due to the impact of COVID-19. However, last year saw a return to growth. This year, the recovery of the cosmetics industry is expected to continue, supported by diversification of export regions and sustained growth of K-Indie brands. Researcher Oh said, "In the first quarter, cosmetics were exported to a record 175 countries for the same period. Among them, 110 countries are setting new records," adding, "Since cosmetics exports have started this year with a sharp upward trend, we expect to break the annual record for cosmetics exports."

As export volumes increase, cosmetics manufacturers are securing additional factories. Inglewood Lab, the U.S. subsidiary of Cosmecca Korea, completed the expansion of its warehouse for its subsidiary Inglewood Lab Korea on the 4th. Inglewood Lab Korea recorded sales of 100.8 billion KRW last year due to increased orders from local indie beauty brands and expanded distribution channels in the U.S., representing a rapid growth of 141% compared to the same period in 2022. After the expansion, the factory size of Inglewood Lab Korea increased by 26.0% to 8,489㎡, with the warehouse added to the existing factory site, securing a stable logistics base for large-scale orders.

Manyeo Gongjang plans to enter 300 Costco offline stores across the U.S. in July, launching a ‘Pure Cleansing Oil’ duo set to expand its global presence. Manyeo Gongjang showed a sharp sales growth of 169% in the U.S. market last year. Sales of cleansers on Amazon U.S. increased by 185% year-on-year, and the brand has also entered Costco online, expanding its sales channels. Researcher Oh said, "Since Manyeo Gongjang has been recognized for its excellent product quality on Amazon U.S. and Costco online, it is expected to receive a good response in Costco offline stores in the U.S. as well," adding, "It has also been selected as a global strategic product by Costco U.S. We look forward to its expansion into Costco stores worldwide, not just in the U.S."