● SK chemicals Expands its Market to China with Environment-friendly Materials and Cosmetic Containers

- Products of SK chemicals are gaining popularity in the Chinese market of cosmetics containers because of its eco-friendliness and chemical resistance.
- The company has recorded the largest share in the Chinese market of copolyester for two consecutive years by utilizing localization strategies.



SK chemicals is gaining popularity in the Chinese market of premium cosmetic containers with its environmental-friendly copolyester, PETG.

SK chemicals (CEO: Cheol Kim, www.SKchemicals.com) participated in “CBE 2018 (China Beauty Expo 2018)”, the largest cosmetics exhibition in Asia which was held at Shanghai Exhibition Centre in China for three days from 22nd to 24th this month, to target Chinese cosmetics businesses.

Recently, the Chinese market has received special attention from the cosmetics industry worldwide. According to the analysis report of the cosmetics market in China, the Chinese cosmetics market, which was worth $44 billion (KRW 50 trillion) by 2015, is expected to grow by more than 8% every year until 2020, thus competition among global cosmetics companies and Chinese companies is becoming more intense. Accordingly, major cosmetics companies are continuously targeting local Chinese consumers’ needs by “upgrading” and “differentiating” container materials.

In line with this trend, SK chemicals too has been carrying out the “Cosmetics Road Show” since 2016, promoting eco-friendly materials optimized for brand-specific cosmetic containers for local Chinese cosmetics brands and providing technological support.

Glass, PMMA, and SAN were mainly used in existing Chinese premium cosmetic containers. However, domestic and abroad cosmetic manufacturers pointed out that the glass was heavy and fragile, making transportation and storage difficult, and PMMA and SAN are not suitable for premium cosmetic containers because Styrene, a harmful substance, might be detected in them and they have weak chemical resistance.

Eco-friendly PETG, which SK chemicals has succeeded in commercializing for the second time in the world, is an eco-friendly material that does not have any possibility of the detection of Bisphenol A. It is widely used by popular global cosmetic brands such as L’Oreal, Estee Lauder, and Shiseido because of its superior transparency and chemical resistance.

SK chemicals PETG has been attracting attention from Chinese companies, thanks to the power of the product that overcame the shortcoming of the existing materials and the “halo effect” that has been created since the material was applied to global luxury cosmetics. Last year, 9 out of top 14 Chinese cosmetics companies used cosmetic containers made from SK chemicals PETG. As it gains growth momentum in the cosmetic container market, SK chemicals PETG recorded the largest share in the Chinese copolyester market for two consecutive years last year.

Companies are increasingly considering SK chemicals PETG a new container material for their new brands. “Sales of PETG in China’s cosmetic container market grew by 80% last year compared to the previous year,” said Seung Hye No, a manager in charge of Chinese marketing at SK chemicals. “Sales of PETG are expected to continue to increase, fueled by increasing usage of cosmetics in China and a trend among local companies toward higher quality of their products,” she added.

Meanwhile, SK chemicals is engaged in active marketing activities in major cosmetic trade fairs including the CBE (CHINA Beauty Expo), Cosmoprof in Hong Kong and the China Packaging Association to target the Chinese market. SK chemicals plans to further develop SK Copolyester as a core material for premium cosmetic containers by developing the various usage of the material in the future.


Photo caption: SK chemicals employees showcase eco-friendly PETG cosmetic containers at the “China Beauty Expo 2018”.

※ Term description
Copolyester ☞: Highly transparent thermoplastic amorphous resin with excellent chemical resistance that can be used safely without any concern about the detection of Bisphenol A, a type of environmental hormone

PMMA (Polymethylmethacrylate)☞: Polmethyl metacrylate is an acrylic resin which has excellent transparency, weatherproof, and coloring and is widely used for automobile, electric and electronic components and building materials

SAN(Styrene-acrylonitrile copolymer)☞: SAN has excellent transparency, thermal deformation, and gloss and is used in various products such as appliances (e.g., refrigerator shelves), office equipment, and miscellaneous goods.

Styrene ☞: Styrene is one of the air pollutants, and exposure to high concentrations of Styrene can lead to nervous system anomalies leading to muscle relaxation, fatigue, and nausea.

Hong Kong Cosmoprof ☞: Cosmoprof Asia Hong Kong, which celebrates 22nd year this year, is Asia’s largest beauty exposition and also one of the three largest cosmetics expositions in the world including Bologna in Italy and Las Vegas in the United States. It will be held in Hong Kong this November as a major cosmetics exhibition leading the beauty market in Hong Kong and Asia.

CBE(China Beauty Expo) ☞: It is the largest cosmetics and beauty exhibition in Asia which was first held in 1997 and celebrates 22nd year this year. It is held every year in Shanghai, China, and this year, it will be held from May 23rd to 25th at the Shanghai International Expo Center.

2016 Cosmetics Industry Analysis Report by the Korea Health Industry Development Institute ☞: According to the “2016 Cosmetics Industry Analysis Report” by the Korea Health Industry Development Institute, the global cosmetics market was worth $351.6 billion (KRW 387 trillion) in 2015. By country, the United States accounted for 18.7% of the total market with $65.8 billion, followed by China ($44 billion), Japan ($28.6 billion) and Brazil ($23.6 billion). Korea is the eighth largest market in the world with $10.7 billion.