Japanese Media: China's Tax Cuts Boost Japanese Cosmetics Exports Are Expected To Hit An All-time High This Year

- Nov 13, 2018-

Japan's cosmetics exports continued to grow, Japanese media said. Exports in the first eight months of 2018 rose 48.6 percent from a year earlier to 343.3 billion yen ($3.06 billion) and are expected to hit an all-time high for the year, with a sixth consecutive increase. Much of this is due to China, Japan's biggest export destination for cosmetics, which cut tariffs on cosmetics imports this summer. Many companies, including Goose and Shiseido, have expanded their sales networks in China and increased investment in local factories to expand capacity.

Japan's cosmetics exports have continued to grow rapidly since 2014, the Japan Economic News reported on October 25. Exports in 2017 hit a record high of 371.5 billion yen, more than double the level in 2014. Japan's cosmetics exports exceeded imports for the first time. The rapid growth of visitors to Japan in recent years has a personal feeling for the high quality of Japanese cosmetics. They continue to buy Japanese cosmetics and form consumption habits after returning to Japan, which also contributes to the growth of exports.

Judging from the regional ranking of exports in the first eight months of this year, mainland China topped the list with 36.2%, while Hong Kong, South Korea and Taiwan ranked second to fourth with 25.810% and 7.7% respectively. That means East Asia as a whole accounts for 3/4. Other countries, such as Singapore and Thailand, which visit Japan in large numbers, are also among the top.

The report says exports to China are growing particularly fast. Exports to China doubled in the first eight months of this year compared with the same period last year. Since China cut import duties on major cosmetics from 8 percent to 2 percent in July, exports have grown even faster. The simplification of medical examination and approval procedures in big cities such as Shanghai has also helped.

Reported that the export is mainly toner, essence and lotion and other skin care products. Japanese skin is close to that of the Chinese, thanks to their Asian counterparts, which has also helped Japanese products gain popularity among Chinese consumers.