Introduction

South Korea's alcoholic beverage production plunged to below 3 million kiloliters for the first time in 27 years in 2025, data showed on Sunday, signalling a structural decline in the industry as more South Koreans turn to healthy lifestyles.

Declining shipments across major drinks

According to data from the National Tax Service, shipments of beer and soju have fallen for three consecutive years since 2022, while shipments of takju, a traditional Korean rice liquor, have dropped for five consecutive years as of 2025.

The total output of alcoholic beverages stood at slightly below 2.99 million kiloliters last year, marking the first time since 1998 that it hovered below the 3 million kiloliter mark, as reported by Yonhap news agency.

By type of drink, shipments of beer stood at about 1.52 million kiloliters last year, down 7.2 percent from a year earlier, while shipments of soju and takju recorded 793,000 kiloliters and 318,000 kiloliters, respectively, according to Yonhap.

Factors behind the decline

The prolonged decline in shipments of the three popular alcoholic beverages appears to signal a structural shift in drinking trends, driven by growing health consciousness, population decline, aging of the population, and changing attitudes toward late-night gatherings. The decline came as a growing number of people focused on health and wellness, alongside shifts in corporate culture following the COVID-19 pandemic, as noted in the reports.

A report by the agriculture ministry showed both the volume and frequency of alcohol consumption have slowed recently, with many consumers turning to specific types of drinks or trying out new drinks instead.

Industry response and exceptions

In one instance, domestic shipments of fruit wines amounted to 17,000 kiloliters last year, surpassing the 17,000 kiloliter mark for the first time since 2021, indicating a shift toward alternative drinks.

The alcohol industry has been introducing new non-alcoholic and low-alcohol beverages, as well as products with a variety of flavors and scents, to offset the decline in shipments of traditional alcoholic drinks.

Longer-term trend

Separate data showed that shipments of alcoholic beverages in South Korea reached 3.15 million kiloliters in 2024, down 17.3 percent from a decade earlier, underscoring a sustained downward trend.