Friday, July 18th, 2014
SEOUL, KOREA - Children's clothing purveyors of Korea are moving aggressively into the Chinese market on expectations that the market would grow explosively after the government relaxed the so-called one-child policy. According to industry sources on July 17, the Chinese central government has finally abolished the rule not allowing a second child in the family that it adopted in the 1970s. As of the end of June this year, 29 provincial governments have relaxed their one-child policy, with the remaining two prepared to follow suit by the year's end.
The Korea International Trade Association estimated that China's children's clothing market would grow 2.3 times from last year to 98 trillion won this year, largely due to the policy shift. Boryung Medience has moved into the Chinese market in 2008 through a local partner, followed by the establishment of a local corporation in June last year. The company plans to increase distribution channels by 30 percent including standalone stores and premium supermarkets. It will also join forces with Taobao, China's largest online shopping mall.
Agabang & Company opened four "Ettoi" baby clothing stores in China in April. The company runs a total of 100 Agabang stores across the country. Dreamsco, a subsidiary of Hansae Fashion, has launched a new baby clothing brand "Moimoln" in both China and Korea. Based on the experience and know-how of running the children's wear brand "Curly Sue," it plans to pursue upmarket customers. The company will open up to 20 Moimoln stores in China alone.
Todbi, 100-percent homegrown brand, has also moved into the Chinese market this year after setting up shop in Hong Kong as a testbed. Beginning with shops in Sogo Department Store and Yata Department Store in Hong Kong, it signed a lease with K-Hit Plaza in Beijing early this year. Todbi plans to move into other markets in Taiwan, Singapore, and Malaysia.