Korean media: The high-end image of "Made in Korea" is fading, and Korean cosmetics are losing market share in China!
On August 18, South Korean media outlet *National News* published an article stating that the label "Korean cosmetics" is losing influence in the Chinese market. Although consumers still recognize Korean makeup, few now purchase products solely because they are made in Korea. Instead, brand recognition, user reviews, and verifiable effectiveness accumulated on Chinese social media platforms have become the primary factors driving consumer purchasing decisions.
Export statistics also reveal shifts in the Chinese market landscape. In the first half of 2026, South Korea’s cosmetic exports reached $7 billion, a year-on-year increase of 27.3%, setting a new record for the first half of the year. However, exports to China during the same period amounted to only $1.01 billion, a decline of 6.6% year-on-year.
The share of China in South Korea’s total cosmetic exports has dropped to 14.4%. Compared to about 19.6% in the first half of 2025, this represents a decrease of nearly 5.2 percentage points within just one year. Meanwhile, exports to the United States reached $1.45 billion, surpassing China to take the top spot. Although overall Korean cosmetic exports continue to grow, the focus is increasingly shifting from China toward the U.S., Japan, and Europe.
Domestically in China, locally developed “Chinese-style beauty” brands are rapidly expanding their influence. According to data from digital marketing firm iClick Interactive, domestic Chinese brands now hold a 57.4% share of the cosmetics market—marking the fifth consecutive year of growth. Korean brands account for only 4.0% of the market, while French brands make up 16.1%, American brands 11.7%, and Japanese brands 6.4%.
The shift of China’s cosmetics consumption center toward online platforms is also presenting new challenges for foreign brands. Online transaction volume in China’s beauty market has already reached 65.4%. Among these, Douyin—known for its short-video content and live-stream e-commerce—has surpassed Tmall to become the dominant platform for beauty product sales.
iClick analysis highlights that Chinese consumers’ purchasing criteria are evolving from seeking “the best product” to choosing “the most suitable product for me.” This means consumers are no longer solely focused on a product’s origin or brand reputation; instead, they place greater emphasis on whether the product addresses their specific skin concerns and lifestyle needs, and whether its ingredients and efficacy are scientifically supported.
Chinese beauty brands are swiftly adapting to these changes. They integrate traditional Chinese ingredients and unique aesthetic philosophies into their brand narratives and leverage consumer feedback observed on platforms like Xiaohongshu (Little Red Book) and Douyin to guide product development and marketing strategies.
Thus, some argue that despite rapid new product launches and cost advantages, Korean cosmetics are becoming increasingly indistinguishable from Chinese brands. In the past, promoting the entire “Korean cosmetics” category through Hallyu content and celebrity endorsements proved effective. But today’s market has evolved—companies must now build brand awareness and demonstrate product efficacy on a product-by-product basis.
A senior executive at a Korean cosmetics brand said: “Young Chinese consumers tend to view cosmetics as a way to express taste and individuality, not merely as consumables. Simply copying popular Korean products for sale has clear limitations.”
Original source: toutiao.com/article/1873824639531016/
Disclaimer: The views expressed in this article are those of the author(s) alone.