Why Did TSUBAKI Become Made in Vietnam? Full Story from Shiseido Split to CVC Acquisition
- Nikita
- Jan 23
- 2 min read
TSUBAKI series shifting to Vietnam production stems from Shiseido's divestiture of its personal care business to FineToday and a strategic global manufacturing pivot. For overseas buyers, this opens doors to cost-effective, high-quality Japanese beauty products like TSUBAKI Vietnam-made, boosting Asian market penetration with reliable supply chains.
TSUBAKI Origins in Shiseido Era: Building Japanese Quality Reputation
Launched by Shiseido in 2002, TSUBAKI became a premium hair care icon with camellia oil formulas delivering silky results, dominating sales in Japan, China, and Southeast Asia—hundreds of millions of units annually alongside Fino treatments. Production initially centered on Shiseido's Saitama Kuki factory for "Made in Japan" prestige, with Vietnam facilities (Shiseido Vietnam Inc.) handling growing Asian demand since the 2010s. Shiseido refocused on luxury skincare by 2021, spinning off daily essentials (TSUBAKI, SENKA, Uno, Fino—20 brands, ¥100 Billion+ revenue) due to differing business paces between cosmetics and mass-market items.
2021-2022 Timeline: FineToday Formation and Asset Transfers
In July 2021, European PE giant CVC Capital Partners carved out Shiseido's personal care into FineToday Shiseido (now FineToday Holdings), starting with 300 sales/marketing staff outsourcing R&D/production to Shiseido.
August 2022: Shiseido transfers production assets (Kuki and Vietnam factories).
April 2023: Kuki becomes FineToday Industries for premium "Made in Japan" fino production.
December 2023: Full acquisition of Vietnam factory—key trigger for TSUBAKI Vietnam-made dominance, slashing outsourcing costs and vertical integration. Transfer terms favored FineToday with ¥10.3B negative goodwill gain.
Why TSUBAKI Shifted to Vietnam Production: Costs, Markets, and Strategy
TSUBAKI Vietnam-made ramp-up prioritizes cost reduction and Asian export efficiency. Labor at 1/5 Japanese levels cuts expenses; proximity slashes shipping 20-30%. 2024 sales mix: Japan 43%, China/HK 38%, APAC 19%—with Southeast Asia at 10% YoY growth, local production dodges tariffs and speeds delivery. Quality holds via ISO14001 standards and inherited Shiseido tech. Premium "Black TSUBAKI" launches raise prices, offsetting raw material hikes for better margins. Vietnam handles volume TSUBAKI, Japan Kuki factory keeps premium Fino.
2024 CVC Full Control and Independent R&D: No Shiseido Reliance
June 2024: Shiseido sells 20.09% stake to CVC (99%+ via Oriental Beauty Holding), ending equity links. Public contracts lack tech tie-up mandates. FineToday ramps R&D since 2021, opens Toyosu Beauty Innovation Center 2023 for proprietary development. 2027 plan targets 7%+ sales growth, new brands, talent KPIs mitigating outflows. CVC (Luxembourg HQ, ¥200T AUM) boosts value for exit; Bain Capital bid imminent, but supply stable.
📝 Conclusion
From Shiseido split to CVC ownership and factory control, TSUBAKI Vietnam-made evolves Japanese beauty into affordable global powerhouse—prime for overseas TSUBAKI wholesale.
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