South Korean food companies are setting their sights overseas for growth in 2025. (Image courtesy of Yonhap)
SEOUL, Jan. 2 (Korea Bizwire) — With domestic consumption remaining sluggish, South Korean food companies are setting their sights overseas for growth in 2025, capitalizing on the surging global demand for Korean food products through new production facilities and market expansion strategies.
CJ CheilJedang, a leading Korean food manufacturer, has unveiled plans to strengthen its presence in emerging markets including Europe and Oceania while reinforcing its position in the United States. The company’s European operations saw remarkable 40% year-on-year growth in the third quarter of 2024, marking Europe as a strategic region for K-food expansion. The U.S. market continues to be crucial, accounting for over 80% of the company’s overseas food business revenue.
Through its subsidiary Schwan’s, CJ CheilJedang plans to establish a new Asian food factory in South Dakota by 2027. The company is also constructing a facility in Hungary to begin producing Bibigo dumplings in the latter half of 2025, using it as a springboard to enter Central and Eastern European markets including Poland, Czech Republic, Slovakia, and the Balkan region.
Samyang Foods is accelerating its European expansion through its newly established European subsidiary. The company expects to boost its production capacity with the completion of its second Miryang factory in May 2025, increasing annual domestic noodle production from 1.8 billion to 2.4 billion units. Samyang has also announced plans for its first overseas production facility in China by 2027.
Nongshim will establish a European subsidiary this year and plans to complete its Noksan export-dedicated factory in Busan next year, capable of producing 500 million instant noodle packages annually. The company will also launch its new product, Shin Ramyun Toomba, sequentially in international markets.
Korean instant noodle exports have already shown remarkable growth, reaching $1.14 billion between January and November 2024, a 30% increase from a year earlier.
Lotte Wellfood is boosting its global production capabilities with a new Havmor ice cream factory in India and expanding its Pepero production line in the country. Orion is focusing on channel expansion and market-specific product launches, with its Chinese subsidiary expanding bulk market products and its Vietnamese subsidiary targeting the children’s market with new snack products.
In the beverage sector, Lotte Chilsung Beverage is aiming to develop Milkis, Chum-Churum, and Saero into global brands. The company recently partnered with U.S.-based Gallo Winery to distribute its soju products in approximately 10,000 liquor stores across America, with a goal of increasing its overseas sales ratio to 45% by 2028.
The food service industry is also expanding internationally. BHC Chicken, currently operating 27 outlets in seven countries, plans to increase its presence to 58 locations across 10 countries this year. Ediya Coffee, which opened its first Malaysian outlet in December, has set a goal of opening 200 franchises in the country by 2029.
Ashley Song (ashley@koreabizwire.com)
