CJ CheilJedang announced on the 8th that it is building a new dumpling factory in Chiba Prefecture, Japan. The strategy is to strengthen production infrastructure through proactive investments and to aim for the expansion of its business in Japan.
According to CJ CheilJedang, the new factory will be constructed on a site the size of six soccer fields (42,000㎡) in Kisarazu City, Chiba Prefecture, with a total floor area of 8,200㎡. Approximately 100 billion won has been invested. The factory will feature state-of-the-art production lines and is scheduled to start producing 'Bibigo dumplings' in September after completion in July for supply across Japan.
CJ CheilJedang aims to leverage the spreading new 'K-Trend' in Japan to establish production bases and seize opportunities for future growth. Beyond the existing K-pop and K-content centered 'Korean Wave', Korean lifestyle culture, led by K-food, has become increasingly popular recently.
Earlier, Lee Jae-hyun, chairman of CJ Group, visited Japan for the first global on-site management of the year and emphasized, "The renewed Korean Wave in Japan is a critical opportunity for the global dissemination of K-culture, and the Japan operations that are already prepared, such as Bibigo, must not miss this opportunity," adding that there is a need to accelerate localization and the establishment of global infrastructure to enhance competitiveness and leap to a 'global leading company.'
CJ CheilJedang plans to strengthen its strategy in the Japanese frozen dumpling market through the establishment of production bases and to scale up its growing local food business. Notably, the Japanese frozen dumpling market, which amounts to approximately 1.1 trillion won annually, presents a significant growth opportunity as jiaozi, similar to Bibigo dumplings, accounts for more than half of it.
CJ CheilJedang aims to lead new market trends by launching new products that enhance consumer cooking convenience alongside its existing flagship product 'Bibigo Wang Gyoza' at this factory.
Currently, CJ CheilJedang's Bibigo dumplings, frozen gimbap, K-sauces, and others are sold through major distribution channels such as AEON, Costco, Amazon, and Rakuten in Japan. In particular, the 'Bibigo Gimbap,' which was first introduced in Japan among global countries in 2023, is gaining popularity, with approximately 2.5 million units sold last year, primarily through AEON and Costco. As the Chiba factory begins operations in the second half of the year and strengthens dumpling production capacity, a qualitative and quantitative leap in CJ CheilJedang's food business in Japan is anticipated.
CJ CheilJedang has steadily increased its overseas production facilities to expand its global business. In Japan, it operates a total of four dumpling factories since acquiring the local company 'Gyoza Plan' in 2019. In the United States, it has a total of 20 food production bases, including the factory acquired from Schwans in 2019. In Europe, it secured its first production base by acquiring the German frozen food company 'Mainfrost' in 2018, and in 2022, it completed the 'Kizuna Factory' in Vietnam, which applied the Country to Country (C2C) method for the first time. In 2023, production facilities were also secured in Australia for the production of dumplings and kimchi locally.