CXI, Entering Southeast Asian Market Through Joint Venture with Local Vietnamese Company
CXI recently signed a memorandum of understanding (MOU) for cosmetics business cooperation with the Vietnamese company ‘Studio-Y Saigon,’ signaling its entry into the Southeast Asian market.
The MOU signing partner, Studio-Y Saigon, is an affiliate of the domestic corporation Studio Y. Studio Y is a company that, in joint venture with a major domestic distributor, distributes Korean cosmetics to China and Southeast Asia through exhibition-style studios using live commerce. They actively conduct live commerce mainly on channels such as TikTok.
Studio-Y Saigon distributes cosmetics from domestic and overseas brands on channels like TikTok and Facebook, focusing on the Southeast Asian region centered on Vietnam. As an early seller on the Vietnamese TikTok platform, Studio-Y Saigon receives various supports from the TikTok platform, including traffic support and promotions by famous influencers.
CXI plans to jointly develop and sell products with Studio-Y Saigon by utilizing resources from Korea and China to target the Southeast Asian market. This cooperation aims to use the Vietnamese market as a breakthrough point and expand throughout Southeast Asia in the future. To this end, CXI is working to establish joint ventures with various domestic cosmetics companies to activate its Southeast Asian business.
Meanwhile, CXI signed an exclusive distribution contract this year through its subsidiary with CSA Cosmic for overseas direct purchase sales channels in China and Southeast Asia. According to the Vietnam General Statistics Office, Vietnam’s GDP in the second quarter of this year increased by 6.93% compared to the same period last year.
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Vietnam has established itself as the fastest-growing country in the Southeast Asian region, and demand for cosmetics is rapidly increasing along with the rising income levels of Vietnamese people. A company official stated, “Sales in Southeast Asia will be formalized from the second half of the year through the cooperation of both companies,” adding, “We have high expectations as we are entering a market with high growth potential alongside a verified partner.”
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