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Cosmax Eyes Expansion in Latin America with New Manufacturing Plant

K-Beauty Demand Drives Cosmax to Consider New Facility in Mexico or Brazil
South Korea
c 192820.KO Mid and Small Cap 2000 Beauty 40 Consumer 250
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Cosmax Inc., South Korea’s leading cosmetics original development and design manufacturer (ODM), is exploring the establishment of a new plant in Latin America to accommodate the increasing global demand for K-beauty products. The company is considering potential sites in Mexico or Brazil to strengthen its market presence and diversify its supply chain, according to Choi Kyoung, vice chairman of Cosmax.

This proposed facility would mark Cosmax’s sixth international manufacturing site, complementing existing plants in China, Indonesia, the United States, Thailand, and Japan. Currently, the company is also building a new plant in Ibaraki, Japan, which is expected to be completed by the latter half of next year.

The expansion plans align with Cosmax’s strategy to ramp up production amid a surge in ODM orders driven by the global K-beauty wave. The company, which supplies beauty products to over 2,685 global clients, anticipates acquiring around 520 new clients this year alone.

Cosmax’s aggressive growth is backed by substantial investment in research and development, employing 1,300 R&D staff across its centers worldwide. The company’s capability to rapidly adapt to changing beauty trends and focus on high-quality ingredients has positioned it at the forefront of the global cosmetics market, alongside its chief competitor, Kolmar Korea.

Both companies have significantly contributed to the rise of K-beauty, which now extends beyond Korea’s major brands to smaller, innovative cosmetics firms. As Cosmax continues its expansion, it remains a pivotal player in the international beauty industry, leveraging the popularity of Korean cultural exports​​​​​​.

 

 

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