K-Golf Apparel Targeting 10 Trillion Won Military Supply Market... Accompanied by US Economic Delegation

Castelbajac to Establish Local Production Plant in the US... Flagship Store Opening in LA in June

Fashion Group Hyungji's entry into the U.S. market is becoming visible. Key issues include aggressive flagship store operations and entry into the military supply clothing market through the establishment of production factories.

According to industry sources on the 24th, Fashion Group Hyungji Chairman Choi Byung-oh and Castelbajac CEO Choi Jun-ho will accompany President Yoon Suk-yeol on his economic delegation to the U.S.

Fashion Group Hyungji acquired the French headquarters of Castelbajac in 2016 and set a plan to develop Castelbajac as the flagship brand for realizing a ‘Global Hyungji.’ Accordingly, CEO Choi will accompany the U.S. economic delegation to concretize the overseas market entry strategy that he has been leading and preparing for. This will mark the official start of the global Hyungji realization trajectory, seven years after Castelbajac’s domestic launch. CEO Choi said, “Through the U.S. economic delegation schedule, we will make every effort to ensure that the long-prepared plans for U.S. entry are executed without setbacks and to elevate the status of K-fashion.”

To realize Global Hyungji, Castelbajac established its U.S. subsidiary ‘Castelbajac USA’ in 2021 and has been steadily preparing for U.S. market entry. As a result, they are promoting a global strategy centered on establishing a ‘K-Fashion Global Town’ in the Melrose area of West Hollywood, Los Angeles, in early June. In June, they plan to open the Castelbajac flagship store and intensify their North American market penetration.

Although the local subsidiary was established in 2021 for U.S. entry, this is the first offline store. Melrose Avenue, where the K-Fashion Town will be located, is a representative fashion street in LA, and they have secured a location at the heart of this street (7673 Melrose Ave).

In addition to the flagship store, they plan to target the U.S. golf club pro shop market, which has more than 16,000 golf courses. Through these distribution channels, Castelbajac aims to transform from an overseas brand to a leading domestic golf wear brand and become a frontrunner in K-fashion through re-export.

Castelbajac USA, the U.S. subsidiary, has also completed registration with the U.S. Federal Procurement System (SAM), a mandatory requirement targeting the U.S. federal government procurement market worth 1,000 trillion won. This grants them bidding and supply qualifications. The U.S. procurement office is considered a blue ocean as the world’s largest single buyer, offering high margins and the possibility of long-term large-scale transactions.

The market Castelbajac USA will enter targeting the U.S. federal government is the 10 trillion won military supply clothing market. They are actively pursuing U.S. military supply contracts for various military goods such as uniforms and combat boots. Alongside this, they are planning to build a factory optimized for the U.S. market to ensure rapid market entry. After supplying the U.S. military, they are also aiming to enter PX stores at U.S. military bases worldwide where the U.S. is deployed. Starting with entry into the U.S. federal government procurement market, Castelbajac USA plans to expand into global procurement markets such as the United Nations (UN) procurement market based on the global supply chain built over 30 years.

This content was produced with the assistance of AI translation services.