Chairman Shin Dong-bin's 'One Lotte' strategy bears fruit, with Singapore as overseas strategic hub

Lotte is set to launch a joint venture of its Korean and Japanese food affiliates in Singapore in early July. Pictured at the office opening ceremony held in Singapore in May are, from third from left, Jin Young-dong, head of the Singapore joint venture; Shin Yu-yeol, head of Lotte Holdings' future growth division; and Ishiguro, head of the global division at Japan's Lotte Confectionery. [Lotte]
Lotte is set to launch a joint venture of its Korean and Japanese food affiliates in Singapore in early July. Pictured at the office opening ceremony held in Singapore in May are, from third from left, Jin Young-dong, head of the Singapore joint venture; Shin Yu-yeol, head of Lotte Holdings' future growth division; and Ishiguro, head of the global division at Japan's Lotte Confectionery. [Lotte]

Lotte announced Tuesday that it will launch a joint venture in Singapore combining its Korean and Japanese food affiliates. Lotte Wellfood and Japan's Lotte Confectionery have completed board approvals and merger review clearances in the relevant countries, with an official launch set for July.

The joint venture marks the fruition of Chairman Shin Dong-bin's "Korea-Japan One Lotte" strategy. Shin has regularly chaired "One Lotte Food Company Strategy Meetings," calling on the two companies to strengthen global competitiveness through closer cooperation. The two sides have steadily expanded their collaboration to cover raw material procurement, joint marketing and cross-selling of products.

Lotte Wellfood posted overseas sales of 1.2 trillion won ($780 million) last year, up 14.4 percent from 2024. Japan's Lotte Confectionery also recorded overseas sales of around 900 billion won, driven mainly by Vietnam and Indonesia. Overseas sales of Pepero — named the first global mega brand — grew 24 percent last year and accelerated to 33 percent in the first quarter of this year.

The joint venture will oversee the Asian operations of both Korean and Japanese Lotte food companies, unifying management and decision-making under a single structure. It plans to link the two companies' production, sales and logistics infrastructure to improve operational efficiency, while pursuing the development of global mega brands and entry into new markets. Shin Yu-yeol, head of Lotte Holdings' future growth division, will serve as chairman of the board.

Lotte has been deepening Korea-Japan cooperation across the group — most recently in September last year, when Lotte Hotels & Resorts and Japan's Lotte Holdings established a joint venture called Lotte Hotels Japan. "We will bring together the strengths of both companies to nurture mega brands, open up new markets and raise our global competitiveness," a company official said.


korean@heraldcorp.com