Cosmax: an extraordinary dynamic!

The Korean group Cosmax, which last year achieved a turnover of $2.2 billion across all sectors (cosmetics, food supplements and pharmaceuticals), has just confirmed double-digit growth for 2025. Founded in 1992 on three commitments embodied by three apples (the first symbolising the morality of Adam and Eve, the second the discoveries of Sir Isaac Newton and the last the goddess Aphrodite symbolising beauty), the group now employs 7,000 people, including 1,100 dedicated to research and development, and has no fewer than 25 factories worldwide (including 18 dedicated to the production of cosmetics), with a presence in China, the United States, Southeast Asia, Australia, Indonesia and Thailand. It boasts a total of 4,500 customers and has just opened in 2024 a sales office in Europe, based in Paris and managed by Sandrine Mary. A 33-year journey achieved at a speed that some rightly consider ‘record-breaking’ by this Korean group, which is still family-owned. For Byungjoo Lee, CEO & President of Cosmax BTI, ‘Cosmax has further consolidated its position as the world’s number one ODM by achieving record sales thanks to its continued efforts in research and development and its expansion into emerging markets’. Explanations...

Speaking of ‘journeys’!

Since 1992, when Cosmax was founded, events have unfolded at a steady pace, with the launch of a new factory in 1996 in the Hyangnam pharmaceutical hub, followed by CGMP certification in 1998. The Group was listed on Kosdaq in 2002. In 2004, Cosmax China was created, followed by a new listing on the Kospi market in 2006. Iljin Pharma (Cosmax Bio) was acquired in 2007, followed by the creation of Cosmax Guangzhou in 2010 and Cosmax Indonesia and the Pangyo R&I Centre in 2011. In 2013, Cosmax USA and Cosmax NBT China were established. In 2014, Nutri Biotech (Cosmax NBT) was acquired and Cosmax NBT US was established. In 2016, Cosmax NBT was established in Australia. In 2017, Cosmax Thailand was established, the American company NuWorld Beauty was acquired and Cosmax BIO China was established. In 2018, Twowin Pharm (Cosmax Pharma) was acquired. In 2019, the first factory in Pyeongtaek, Korea, was built.
In 2020, Cosmax Guangzhou-Yatsen JV was built and SNU-Cosmax TIC was established. In 2021, a microbiology centre was established with Dankook University. In 2022, creation of Cosmax Japan, an office in Vietnam and an office in Malaysia. In 2023, creation of Cosmax Bio Foundry and construction of a second factory in Pyeongtaek. In 2024, creation of sales offices in California, Mexico and Paris for Europe.

Cosmax now has around 20 manufacturing plants in Korea, the United States, China, Indonesia and Thailand, giving it a global production capacity of around 3.2 billion units. The group also has sales offices in France, Vietnam, Malaysia, Mexico and other countries to expand its presence in the global market.

Tariff increases: a minor impact!

‘Tariff increases have become a major issue in the global market,’ explains Byungjoo Lee, "but for Korean beauty products, many of which are positioned in the mid- to low-price range, the impact of customs duties (15% for Korea) is considered relatively minor. So far, no significant impact on business has been observed. In addition, we have implemented the “Global One Cosmax” system, which enables smooth collaboration in R&D and manufacturing between our headquarters and our international subsidiaries, including our production sites in New Jersey, USA. This infrastructure allows us to easily transfer our production to the United States or other sites according to our customers’ needs.’
Each foreign subsidiary (United States, China, Indonesia and Thailand) has its own Research and Innovation Centre.
‘It should be noted that in the United States,’ says Byungjoo Lee, "we are strengthening our expertise in colour matching for make-up products tailored to multicultural markets. In Southeast Asia, we are developing new ingredients through research on indigenous plants and differentiating the formulations of these products to suit hot and humid climates.
Through our Global One Cosmax strategy, we are adapting popular Korean beauty products, such as SPF skincare products, cushion foundations and multi-purpose lip and cheek products, to meet local preferences and demands, thereby appealing to these customers.
In addition, we have obtained various global certifications and approvals, including FDA OTC drug manufacturing authorisation and MUI halal certification, enabling us to meet the diverse requirements of local markets with our specialised production capabilities’

Making people more beautiful!

‘Since its creation in 1992,’ explains Byungjoo Lee, Cosmax has never stopped innovating within the K-Beauty industry, in line with our three commitments embodied by our famous ‘three apples’, the first symbolising integrity (the morality of Adam and Eve), the second innovation (the scientific discoveries of Sir Isaac Newton) and the last referring to Aphrodite symbolising beauty.’

The Group’s first commitment is an ethical one, which means being honest and keeping our promises. The second commitment is a constant quest for innovation through research and scientific discoveries.

The third commitment is to ‘make people beautiful’. This involves leading the way on a global scale by creating a more beautiful world. The Group aims to promote beauty and health.
‘We are the first Korean cosmetics subcontracting company,’ emphasises Byungjoo Lee, "to have entered foreign markets, particularly in China, the United States and Southeast Asia. I would like to remind you of some of K-Beauty’s flagship products, such as CC cream, gel eyeliner and cushion foundation. 99 % of our products have been developed in our own Research and Innovation Centres. More than 1,100 of our researchers work around the world and more than 8,000 new products are developed each year.’

2024: a record year!

Cosmax recorded its highest ever turnover in 2024, exceeding $2.2 billion. In the first half of 2025, sales continued to grow.
‘The main investments and strategic activities that led to these results,’ explains Byungjoo Lee, "are as follows:
• The “Global One Cosmax” strategy.
• Innovation through Artificial Intelligence.
• Global Open R&I

The ‘Global One Cosmax’ strategy integrates all processes, including product development, production and supply chain management, through the collaboration of researchers, designers and scientists from around the world within a single global team.
Since the creation of the CAI (Cosmax AI) laboratory in 2021, Cosmax has been promoting digital transformation (DX) and AI development. The company has launched the ‘Smart Colour Matching AI System’, a system that uses AI to adjust the colours of cosmetics from the raw material stage for the multicultural make-up market. We are also developing an AI-based automatic prescription system and a flexible small-batch robotic production system to automate product development, production, quality and regulatory compliance.
As part of our ‘Global Open R&I’ program, we collaborate with around 30 national and international research institutions, including Harvard University (United States), Jiangnan University and Fudan University (China) and the National University of Singapore. These partnerships focus on cutting-edge technologies and convergence in the beauty sector.

‘At the Cosmoprof Worldwide Bologna 2024 trade show, we won the Innovation Technology Award at the Cosmopack Awards 2024 for our Plussome™ cationic liposomal delivery system, which improves skin absorption, demonstrating our leadership in global beauty technologies. It should be noted that we have been conducting advanced research on the skin microbiome since 2011 and now possess cutting-edge expertise and technology in this field. In 2019, we became the first company in the world to market skincare products based on microbiome research. Last July, we published the results of a study on Korean skin and types of ageing using the microbiome in the international journal Frontiers in Cellular and Infection Microbiology.
Finally, we have also developed our own algorithmic platform, FACE-LINK™, which diagnoses skin needs based on the skin microbiome. And we are further strengthening our research by collaborating with leading universities, such as Harvard University in the United States and Fudan University in China.’

Environment: a plastic initiative for 2030!

With regard to the environment, the Group has established an ESG management philosophy tailored to the ODM (research, development, manufacturing) business model.
And to combat climate change, a system called ‘CCB (COSMAX Conscious Beauty)’ has been implemented, a sustainable cosmetics production model that excludes ingredients harmful to nature, the environment and society and ends the production of items containing microplastics.
‘We have announced a “plastic initiative” for 2030,’ says Byungjoo Lee, "aimed at minimising the environmental impact of cosmetics packaging and raw materials. This green roadmap covers the entire cosmetics value chain, including packaging, ingredients and manufacturing processes. We have also developed our own packaging standards, evaluating containers based on their environmental friendliness and recyclability. Packaging is classified as S, A or B, and environmentally friendly product options are proactively offered to customers. We received the Full Service Award at MakeUp in Paris for our Eco Formelt Pencil. This is a multi-purpose, eco-designed and environmentally friendly make-up pencil. It features Cosmax’s exclusive technology for manufacturing and moulding external components to protect make-up sticks, using only cosmetic-grade materials. This innovation combines hard and soft waxes and powders in an optimal ratio.
The outer structure therefore requires no additional materials and can be sharpened with a pencil sharpener.’