NEWS LETTER

ENGLISH
Entering the Japanese market? Category defines your success.
2026,04.22
By
OTCM
April
2026, NO.15
OTCM 뉴스레터


Japan remains a highly attractive market.
However, in practice, the most common hurdle is not ingredients—but claims.

Claims that are commonly used in Korea may be restricted in Japan, and in some cases, the same product may even need to be reclassified as a quasi-drug.

In the Japanese market, category selection itself becomes a strategic decision.

point 1
Is There No "Brightening" Category in Japan?
Strictkly speaking, there is no "Brightening" category within cosmetics in Japan.

These are defined as quasi-drug claims.

Inhibition of melanin production
Prevention of spots and freckles

Cosmetics, on the other hand, are designed based on appearance and physical effects, such as:

Preventing spots and freckles caused by sun exposure (via UV protection)




In other words, even with the same formula, the development strategy changes depending on how the claim is expressed.

point 2
Cosmetics or Quasi-drugs?
Cosmetics are products designed to provide overall, gentle benefits such as moisturizing and cleansing the skin. They can be launched relatively quickly, but claims about efficacy are limited.
Quasi-drugs are formulated based on active ingredients to deliver specific functions such as acne prevention, brightening, or wrinkle improvement. While functional claims are allowed, they require pre-approval.




The key point is,
Quasi-drugs are not always the better option.

Due to:

Restrictions on active ingredients and formula
Longer development timelines
Additional regulatory costs and approval processes

They may become a constraint, especially for projects where speed and flexibility are critical.


point 3
Where Do Sunscreens Fall?
In Japan, UV filters are not recognized as 'active ingredients' in quasi-drugs.

They are classified as additives. This means, a product that only claims UV protection can be marketed as a cosmetic without pre-approval. However, if additional functional claims are made—such as anti-acne and brightening, the product must be approved as a quasi-drug, based on active ingredients.

Therefore, standalone sunscreen products can be efficiently developed as cosmetics, allowing faster market entry without the burden of approval processes.


point 4
Regulation-Driven Formulation & Claim Design
A common issue in Japan-bound projects is straightforward. The product is developed as a cosmetic, but the claims align with quasi-drug-level efficacy.

This mismatch often leads to reclassification of the product category, claim revisions and changes in development direction resulting in delays and additional costs.

The key is simple. Formulation, ingredients, and claims must be designed as one integrated structure.

In the Japanese market, both category selection and claim scope must be defined at the early development stage to avoid unnecessary rework. Japan is a market where products are ultimately defined by how they are claimed and categorized.




At OTCM, we support Japan market entry by integrating formula development with regulatory and claim strategy from the outset.

Maximizing what is achievable within the cosmetics category
Strategically transitioning to quasi-drugs when necessary

Our NON-STOP service ensures that category selection, formulation, and claims are aligned from the beginning minimizing delays and rework.


Early alignment of category and claims is the key to efficient and successful market entry into Japan.

Your optimal partner for Japan market entry, OTCM.



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