Seoul, South Korea – KT&G, a leading South Korean tobacco company, announced today that it has established a subsidiary in Uzbekistan to bolster its presence in the Eurasian market and drive profitability.
The move comes after the successful launch of its 'Esse' brand in Uzbekistan in 2023. The company reported that 'Esse' achieved sales of 270 million cigarettes in Uzbekistan last year, with its flagship product, 'Esse Change,' accounting for 64% of total exports.
By transforming its Uzbekistan office into a full subsidiary, KT&G aims to strengthen its long-term competitiveness in the Eurasian region. The company plans to more than quadruple its local workforce and establish a comprehensive sales network to solidify its market position.
KT&G is committed to positioning 'Esse' as the leading cigarette brand in Uzbekistan and will aggressively expand its market share to drive sales and profit growth.
"The establishment of a subsidiary in Uzbekistan is a testament to our commitment to becoming a global top-tier company and aligns with our ongoing investment and innovation initiatives," said a KT&G spokesperson. "We will continue to strengthen our local operations and drive global business growth."
Expanding Global Reach
KT&G has been actively expanding its global footprint through the establishment of regional CICs (Company-In-Company) in Eurasia and the Asia Pacific region. The company currently operates in 132 countries worldwide, with six sales subsidiaries and three branches.
By expanding its overseas subsidiaries, KT&G aims to strengthen its direct sales operations and enhance profitability.
Additional Considerations
Regulatory Environment: Discuss the regulatory landscape in Uzbekistan and any potential challenges or opportunities related to tobacco products.
Sustainability Initiatives: If KT&G has any sustainability initiatives or corporate social responsibility programs, highlight them in the article.
Future Outlook: Discuss KT&G's future plans for expansion in the Eurasian region and other potential markets.
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