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South Korean Food Giant CJ Cheiljedang Apologizes Again in Sugar Collusion Case

By  |  March 24, 2026

CJ Cheiljedang Corp. issued another public apology Tuesday over allegations tied to sugar price collusion, as the company faces growing scrutiny from South Korea’s antitrust regulator. In a statement released under the name of Chief Executive Officer Sohn Kyung-shik during the company’s general shareholders meeting, the food maker said, “We deeply apologize for causing concern.”

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    The company added, “We will completely eradicate past improper practices and rebuild the company’s systems and culture from the ground up, along with strict measures to prevent a recurrence.”

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    The renewed apology follows regulatory action taken last month, when South Korea’s Fair Trade Commission imposed a combined 408.3 billion won, or about $284 million USD, in penalties on CJ Cheiljedang and other domestic sugar producers over what authorities said were unfair trade practices involving collusion on sugar prices in business-to-business sales, according to The Korea Herald.

    The company is also being investigated separately by the Fair Trade Commission over suspected coordination in flour pricing, per The Korea Herald. CJ Cheiljedang had previously expressed regret over the allegations and later lowered prices for some sugar and flour products.

    Read more: KFTC Chair Signals Crackdown on School Uniform Collusion

    At the same shareholders meeting, the company outlined a broader business plan focused on expanding its position in the global food market. The strategy includes faster growth in key product categories such as Korean food, which has been drawing increased demand overseas, according to The Korea Herald. The company also said it intends to move further into higher-value healthcare businesses, aiming to benefit from population aging and rising interest in wellness.

    CJ Cheiljedang is pursuing those initiatives after posting weaker financial results for the previous year. The company recorded a net loss of 416.9 billion won in 2025, while operating profit fell 20.6 percent to 1.23 trillion won and sales dropped 6.9 percent to 27.3 trillion won, according to The Korea Herald. The company attributed the downturn to higher costs and slowing global economic conditions.

    Source: The Korea Herald