K-beauty exports to China jumped 89.9% year-on-year in the first 20 days of May, driven by higher unit prices and a stronger yuan, according to data from the Korea Customs Service. The surge has drawn attention from the cosmetics industry and securities analysts, who see it as a possible catalyst for LG Household & Health Care (LG H&H) stock recovery after prolonged weakness in its China business.
Export data highlights
From May 1–20, total cosmetics exports rose 46.6% year-on-year, while shipments to China soared 89.9% year-on-year and 114.4% month-on-month. The average export price per kilogram to China jumped to $55 in the period, up from $32 in the first four months of 2024, indicating a shift toward higher-value products.
Market signal
Securities analysts suggest the data, if accurate, could reflect either a move toward premium cosmetics exports or stronger duty-free channel sales to daigou (personal shoppers). A stronger yuan has boosted Chinese purchasing power in duty-free channels, where Chinese consumers are major spenders. The yuan has been strengthening since last year due to China's trade surplus, dollar selling by exporters, and the People's Bank of China's gradual acceptance of yuan appreciation.
What buyers should watch
For overseas distributors and clinic buyers, the export surge signals potential restocking demand from Chinese duty-free and retail channels. If the trend continues, LG H&H may revise up its duty-free revenue estimates, which could lead to more competitive pricing or new product launches for the China market. However, analysts caution that one month of data does not confirm a brand recovery.
Sourcing context
LG H&H shares hit a 15-year low earlier this year amid weak China sales. The company resumed daigou transactions for some products in Q1 2024. Kim Myung-joo of Korea Investment & Securities noted that sustained export growth combined with yuan strength could significantly raise LG H&H's duty-free earnings forecasts. Importers should monitor monthly trade data for signs of a structural rebound.
Source: Read the original report | Published: June 03, 2026