Korean kimchi exports to the U.S. set to hit record high

[Photo provided by Daesang]

South Korean kimchi exports to the United States are expected to hit an all-time high in 2024, as the side dish’s popularity shows no sign of waning. Kimchi exports to the United States have surged by more than 30 percent since the beginning of 2024 compared to the previous year and if this trend continues, projections suggest that the number could top 13,000 tons by the end of the year.

According to the Korea Customs Service on Tuesday, South Korean kimchi exports to the United States surpassed the 10,000 tons in 2023, a nearly tenfold increase from 12 years ago and exports were up by 33 percent from a year ago from January to April 2024.

Kimchi’s reputation as a health food that boosts immunity has contributed to its steady popularity. During the Covid-19 pandemic, research led by Professor Jean Bousquet from the University of Montpellier in France highlighted kimchi’s immune-boosting properties. This, combined with the post-pandemic surge in the popularity of Korean content, has further fueled U.S. export growth. Korean films, dramas, and K-pop stars like BTS frequently feature kimchi, sparking interest among global audiences.

The rising popularity of Korean-style spicy flavors in the United States has also helped propel kimchi into the spotlight. This trend has been bolstered by various kimchi-making and spicy food challenges gaining traction on social media platforms. Notably, American rapper Cardi B shared videos and photos of herself enjoying kimchi, buldak fried noodles, tteokbokki, and other Korean dishes.

Japan has historically been the largest importer of Korean kimchi, but exports to Japan have recently slowed while exports to the United States are increasing. Although Japan still imports more Korean kimchi by volume, data from the first four months of 2024 showed a decline in exports to Japan compared to the previous year.

Daesang, known for its Jongga kimchi brand, reported that Jongga kimchi exports to the U.S. has surpassed those to Japan since 2023. Japan accounted for 40 percent of Jongga kimchi exports in 2021 but this figure dropped to 30 percent in 2023, while the U.S. share rose from 27 percent to 32 percent. Daesang estimates that the low yen has reduced the purchasing power of Japanese citizens, which has led to reduced imports of Korean kimchi from Japan.

Daesang is now focusing more on the U.S. market, steadily increasing Jongga kimchi’s presence in major retail chains like Walmart and Costco. Jongga kimchi is available in about 80 percent of Walmart’s 4,700 U.S. stores and all 600 Costco locations. Daesang is not only exporting to the United States but bolstering its local production capabilities as well. The company operates a kimchi factory near Los Angeles, California, covering 10,000 square meters and with an annual production capacity of 2,000 tons. To further enhance its production base, Daesang acquired a local food company in July 2023 and aims to boost its U.S. food business annual sales to 100 billion won ($72.5 million) by 2025.

CJ CheilJedang similarly exports kimchi to the U.S. under its Bibigo brand, which saw a 44 percent sales growth in North America 2023 thanks to the K-food wave. CJ CheilJedang is also focused on local production in the United States, acquiring Los Angeles-based kimchi maker Cosmos Food in October 2023 to ensure its own production capacity.

Meanwhile, Chinese kimchi is increasingly prevalent on Korean tables, particularly in restaurants that opt for the cheaper alternative as food prices rise. Imports of Chinese kimchi surged from about 240,000 tons in 2021 to 260,000 tons in 2022 and 290,000 tons in 2023. Imports exceeded 100,000 tons in the first four months of 2024 alone, marking a 6 percent increase compared to the same period from the previous year.