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The coffee industry is dissatisfied with the unprovoked price increase of Starbucks in South Korea.

Published: 2026-08-25 Author: World Gafei

Last Updated: 2026/08/25, Starbucks South Korea announced Monday that prices for major drinks will rise by 200 won (1.2 yuan) from the 16th of this month, with American coffee, latte, Frappuccino and other popular products among the price increases, South Korea's Asian Economics reported.

People's Daily, July 11, according to South Korea's "Asian economy" report, Starbucks South Korea announced on the 11th that from the 16th of this month, the price of the main beverage will be raised by 200 won (about 1.2 yuan). American coffee, latte, Frappuccino and other popular products are among the price increases. After the price increase, the price of American coffee (large cup) is 4100 won (about 25 yuan), and that of latte coffee is 4600 won (28 yuan). The price of coffee beans has fallen sharply recently, but Starbucks' decision to raise prices has drawn criticism from all sides that there is no sufficient reason to raise prices. Starbucks South Korea official said that due to rising labor costs and store rents, price increases are inevitable. The last time Starbucks raised its price was in May 2012. But this claim is still not accepted, and the import price of coffee beans has fallen sharply recently, from $4.54 per kilogram in 2011 to $2.87 in May this year, a drop of as much as 37%. Starbucks highlighted the rise in its operating costs, but deliberately ignored the drop in raw material costs, making its normal market price increases controversial. As of June this year, there were 284 Starbucks stores in Seoul, more than New York (277), Shanghai (256) and London (202). The massive expansion of Starbucks in South Korea has become the biggest threat to local coffee shop brands, and the South Korean coffee industry has called on relevant agencies to introduce regulations to protect local brands and maintain the diversification of the Korean coffee shop industry, the report said.

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