Handmade soap exports are giving North Korea a new way to earn foreign currency under tough international sanctions. Meanwhile, the Sinuiju Cosmetics Factory, the country’s top cosmetics producer, has launched a new production line focused on soap for export.
According to sources, a source in North Pyongan province said factory staff assembled Chinese-imported equipment between March and May 2025. Subsequently, by mid-June, they began trial production. Soon after, the factory shipped its first batch to China in early July.
Unlike previous offerings, its ginseng-based products for domestic use, this soap targets foreign markets. Workers shape the bars to resemble traditional Korean clothing, which gives them strong souvenir appeal. As a result, officials consider the line a premium product aimed at tourists and gift buyers.
North Korea wants to reduce its dependence on banned exports like coal, seafood, and minerals. Therefore, officials see these handmade soap exports as a way to survive sanctions through consumer goods with cultural value.
At the same time, authorities are also treating this project as a test case. If it succeeds, they may launch a dedicated factory or team to scale up production. Internally, many inside the country hope this could become a reliable source of hard currency.
Notably, the production line started as a joint venture with Chinese investors. These partners supplied the equipment and now distribute the finished goods through their own networks in China.
Currently, buyers can find the soap in cities like Dandong and Yantai. Chinese sellers market the product as a handcrafted, traditional item. It sells for 12 Chinese yuan per bar—twice the price of the factory’s older ginseng soap, which goes for six yuan.
Each bar goes through a final hand-finishing stage. Importantly, this extra step helps raise the perceived quality and boosts sales in gift and souvenir markets. Encouraged by demand, the Chinese investors now plan to expand into Southeast Asia.
Ultimately, as handmade soap exports grow, North Korea continues adjusting its trade approach. The country hopes these small but creative ventures will bring stability despite global restrictions.
