How the Middle East Crisis is Impacting K-Beauty: Supply Chain Challenges and Price Hikes Ahead
Daniel Kim Views
![A cosmetics store in Jung-gu, Seoul. [Photo by Jo Jae-hyung]](https://contents-cdn.viewus.co.kr/image/2026/03/CP-2023-0070/image-7a991300-5483-4cca-a2cd-94264ced22af.jpeg)
A red alert over naphtha supplies — the feedstock for vinyl and plastics — has the fashion and beauty worlds on edge. Geopolitical unrest in the Middle East is disrupting packaging-material flows and sending jitters across the industry.
Industry sources said that on the 25th, the Strait of Hormuz was effectively closed amid conflict involving the U.S., Israel and Iran, raising concerns not only about crude oil but also about naphtha availability. Naphtha is the critical raw material for polyethylene (PE) and polypropylene (PP), which are used to make cosmetic containers, polybags for clothing packaging, and synthetic fibers.
South Korea’s beauty companies are watching closely. Because cosmetics rely heavily on plastic containers and various packaging materials, rising raw-material costs could eventually force product price increases. Suppliers of cosmetic containers have reportedly begun signaling price hikes. Large beauty firms, however, have pre-stocked containers and can manage the short-term impact.
An Amorepacific spokesperson said, “We are not experiencing packaging supply disruptions right now, but we are closely monitoring rapidly changing raw-material conditions.” They added, “We are tracking military tensions and logistics disruptions in the Middle East and assessing impacts across our business, including raw-material sourcing, international logistics, and exchange-rate fluctuations.”
The spokesperson also said the company is reviewing alternative shipping routes, measures to strengthen supply-chain resilience, and other risk-mitigation steps in case the conflict drags on.
A Kolmar Korea spokesperson said, “We currently have no problems sourcing raw materials, but if the Middle East situation is prolonged, packaging-material supplies could be affected. We continue to monitor the market closely.”
Smaller independent beauty brands — many of which lack the cash and warehouse space to stockpile packaging and must order materials on demand — are growing increasingly anxious about potential supply disruptions. Observers warn that a prolonged packaging crunch could weigh on K-beauty’s growth momentum.
The fashion industry is also keeping an eye on the situation. At the fabric and finished-goods stages, companies have secured some inventory, including spring/summer (SS) season stock, so factories are not facing immediate shutdowns or production halts.
The bigger worry is cost. If the crisis continues, prices for chemical-fiber yarns like polyester are likely to rise, and the price of vinyl packaging — essential for packing and distributing products — will almost certainly increase.
An LF spokesperson said the company has existing supplies of fabrics and packaging, so short-term impacts are limited. They added that if the situation lengthens, disruptions could occur, so sourcing teams are closely monitoring volatility in fabric and component procurement.
A Samsung C&T fashion-division spokesperson said they currently have sufficient fabric and packaging volumes but are watching closely because a prolonged Middle East crisis could negatively affect exchange rates, oil prices, and logistics.
Industry sources said that on the 25th, the Strait of Hormuz was effectively closed amid conflict involving the U.S., Israel and Iran, raising concerns not only about crude oil but also about naphtha availability. Naphtha is the critical raw material for polyethylene (PE) and polypropylene (PP), which are used to make cosmetic containers, polybags for clothing packaging, and synthetic fibers.
South Korea’s beauty companies are watching closely. Because cosmetics rely heavily on plastic containers and various packaging materials, rising raw-material costs could eventually force product price increases. Suppliers of cosmetic containers have reportedly begun signaling price hikes. Large beauty firms, however, have pre-stocked containers and can manage the short-term impact.
An Amorepacific spokesperson said, “We are not experiencing packaging supply disruptions right now, but we are closely monitoring rapidly changing raw-material conditions.” They added, “We are tracking military tensions and logistics disruptions in the Middle East and assessing impacts across our business, including raw-material sourcing, international logistics, and exchange-rate fluctuations.”
The spokesperson also said the company is reviewing alternative shipping routes, measures to strengthen supply-chain resilience, and other risk-mitigation steps in case the conflict drags on.
A Kolmar Korea spokesperson said, “We currently have no problems sourcing raw materials, but if the Middle East situation is prolonged, packaging-material supplies could be affected. We continue to monitor the market closely.”
Smaller independent beauty brands — many of which lack the cash and warehouse space to stockpile packaging and must order materials on demand — are growing increasingly anxious about potential supply disruptions. Observers warn that a prolonged packaging crunch could weigh on K-beauty’s growth momentum.
The fashion industry is also keeping an eye on the situation. At the fabric and finished-goods stages, companies have secured some inventory, including spring/summer (SS) season stock, so factories are not facing immediate shutdowns or production halts.
The bigger worry is cost. If the crisis continues, prices for chemical-fiber yarns like polyester are likely to rise, and the price of vinyl packaging — essential for packing and distributing products — will almost certainly increase.
An LF spokesperson said the company has existing supplies of fabrics and packaging, so short-term impacts are limited. They added that if the situation lengthens, disruptions could occur, so sourcing teams are closely monitoring volatility in fabric and component procurement.
A Samsung C&T fashion-division spokesperson said they currently have sufficient fabric and packaging volumes but are watching closely because a prolonged Middle East crisis could negatively affect exchange rates, oil prices, and logistics.
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