"Dry Cleaning Solvent Prices Double"... Laundries Struggle Even During Spring Peak Season

Solvent Prices Surge by 130% Due to Middle East Crisis
Packing Materials Like Plastic and Hangers Also See Sharp Increases
Classified as Petroleum Products, Leaving a Gap in Support Measures

As the prices of raw materials such as dry cleaning solvents used in laundries have surged due to the impact of the war in the Middle East, self-employed laundry operators are facing worsening business difficulties. Although spring is considered the peak season when laundry volumes increase, the soaring price of solvents is making it difficult to stay afloat without raising service charges.

According to industry sources on May 6, the price of solvent, a key raw material for dry cleaning, has risen by about 130% compared to pre-war levels. Solvents that used to cost around 36,000 won for 18 liters are now being sold at 80,000 won. Although there are regional price differences, prices have more than doubled before and after the war. An operator of a laundry in Seodaemun-gu, Seoul, referred to as Mr. A, said, "The price of dry cleaning solvent, which used to be 500,000 won per drum, has doubled, making it extremely difficult to manage. Even though the war has calmed down for now, I have no idea how long the price increases for raw materials will last, and it feels hopeless."

Spring is the peak season for laundry services, with large volumes of winter outerwear such as padded jackets, coats, and knitwear coming in. Since most laundries operated by individuals mainly rely on dry cleaning, the increase in the price of raw materials directly leads to a decrease in income. In other words, even with more work, they are unable to earn more money. This is the reason why a significant number of laundriesare either raising their service charges or considering an increase. Another self-employed laundry operator, Mr. B, said, "The price of solvent has gone up so much that I have no choice but to raise the price of dry cleaning services."

To make matters worse, the prices of items used to package laundry, such as plastic wrap and hangers, have also risen, further increasing cost pressures. CleanTopia recently raised the price of plastic shopping bags it supplies to franchise stores by 30%. A representative from CleanTopia explained, "We have been carefully reviewing the timing and extent of price adjustments for certain materials, and we are reflecting these changes in a limited manner only within the unavoidable range."

Laundry platform companies are also raising their prices one after another. LaundryGo announced on April 24 that it would increase the cost of washing dress shirts from 2,400 won to 2,900 won. The company explained that this was due to the dramatic increase in the price of service materials, which have surged by about 16.7% to 80%. According to the Ministry of Data and Statistics' report on personal service prices, the average laundry fee in Seoul rose from 9,923 won in April last year to 10,846 won as of March this year.

The laundry industry says that while instability in raw material supply continues, they are left out of support measures. While products such as gasoline sold at gas stations are subject to price controls, the government does not regulate petroleum-based products like solvents. The Korea Laundry Association requested inspections and monitoring of the solvent distribution process and direct support at a meeting attended by relevant ministries, including the Ministry of Trade, Industry and Energy, the Ministry of SMEs and Startups, and the Fair Trade Commission. A representative from the Korea Laundry Association stated, "There are laundries that simply pile up laundry they have received because the situation is so difficult on the front lines. We have requested that the government provide direct support for material purchases to small business owners, but we have not yet received a response. If there is no support, the increased costs will inevitably be passed on to consumers through higher laundry prices."

The Ministry of SMEs and Startups expressed that it is difficult to meet the industry's demands because there is no budget allocated for direct support for small businesses affected by the Middle East war. A representative from the ministry commented, "Even in the supplementary budget, only low-interest management stabilization loans were assigned, with no legal basis or budget for direct support. Many industries, including food service and transportation, are being affected, but since it is difficult to predict how long the war will last, we are currently listening to industry opinions by sector and monitoring the situation."

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