Kolmar Korea completed construction of its second US manufacturing facility in Pennsylvania, positioning the South Korean cosmetics contract manufacturer to capitalize on the expanding North American beauty market valued at $118.50 billion.
The new 17,805-square-meter plant in Scott Township can produce 120 million units annually across all cosmetic categories including skincare, color cosmetics and sunscreen. Combined with its existing facility, Kolmar’s total US output reaches 300 million units when combined with its first plant, making it one of the largest beauty original design manufacturers in the region.
Executive Vice Chairman Yoon Sang-hyun positioned the facility as more than just production capacity, describing it as a foundation for building partnerships across the value chain. The company holds FDA over-the-counter certification for sunscreen manufacturing, a regulatory requirement since US authorities classify sunscreens as drugs rather than cosmetics.
The expansion comes as Kolmar Korea aims for $100 million in sales within the next five years in North America. The timing aligns with surging demand for Korean beauty products, with South Korea surpassing France to become the top source of cosmetic imports to the United States by the end of 2023.
Kolmar’s clients including Beauty of Joseon and d’Alba have gained significant traction in US markets without extensive marketing campaigns. The local production strategy also helps brands navigate potential tariff concerns through domestic manufacturing rather than imports.
The broader cosmetics ODM market is projected to grow from $33.32 billion in 2024 to $55.12 billion by 2033 at a CAGR of 5.6%, driven by demand for personalized products and clean beauty formulations.