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Photo courtesy of Yonhap News |
[Alpha Biz= Kim Jisun] SEOUL, October 30, 2025 — Shinsegae Duty Free has announced that it will relinquish its business rights for the DF2 zone (cosmetics, perfumes, liquor & tobacco) at Incheon International Airport Corporation, citing sustained operational losses and a breakdown in lease negotiations.
The company revealed that it will continue operations in the DF2 zone until April 27, 2026, after which the concession will be returned. Meanwhile, its duty-free operations in the airport’s DF4 zone (fashion & general merchandise) will remain unaffected.
Shinsegae Duty Free reported monthly losses of ₩6 billion to ₩10 billion, attributing the downturn to weak consumer spending, fewer Chinese tourists, and evolving shopping patterns away from airport-based duty-free outlets. The company estimated cumulative losses through the contract’s end in June 2033 at approximately ₩1.14 trillion.
The decision follows a legal dispute in which the Incheon District Court ordered rent reductions of 27.184% for the DF2 zone, but the airport authority declined to comply, prompting the concessionaire’s withdrawal.
With this exit and a similar withdrawal previously announced by Shilla Duty Free from the DF1 zone, the upcoming re-bidding of the affected duty-free concessions at Incheon Airport is expected to draw significant interest from both domestic and global players.
Korea Joongang Daily
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
