Business

Shinsegae chief apologizes after Starbucks Korea marketing controversy

SEOUL, May 19 (UPI) -- South Korea's Shinsegae Group said Tuesday its chairman, Chung Yong-jin, issued a public apology over a controversy over a marketing promotion by affiliate Starbucks Korea.

"Starbucks Korea conducted an inappropriate marketing campaign that was utterly unacceptable and should never have occurred," Chung said in a statement. "On behalf of the group, I bow my head in deep apology."

His remarks came a day after Starbucks Korea came under fire Monday because of its "Tank Day" event, which was intended to promote the coffee brand's Tank Series travel tumblers.

However, the campaign evoked memories for many South Koreans of the military vehicles used during the May 1980 crackdown on pro-democracy demonstrators, as the promotion coincided with the anniversary of the Gwangju Uprising.

Starbucks Korea quickly apologized and canceled the promotion just hours after its launch, saying that the Tank product was one of three tumbler series scheduled for release this month.

But backlash continued, and even President Lee Jae Myung joined the chorus of criticism by posting a social-media message.

Against this backdrop, Starbucks Korea fired its CEO, Sohn Jeong‑hyun.

"I deeply feel the weight of responsibility, knowing that the ultimate accountability for this matter lies with me. I am well aware that no explanation will be easily accepted," Chung said.

"Taking this opportunity, we will thoroughly overhaul the group's decision-making system to ensure that such an incident is never repeated," he added.

The head office of Starbucks in the United States also apologized, saying, "While unintentional, this should never have happened."

Since 1999, Shinsegae Group has operated Starbucks Korea through a partnership with Starbucks. Currently, Shinsegae is its largest shareholder, while the U.S. coffee giant retains a minority stake.

Copyright 2026 UPI News Corporation. All Rights Reserved.

This story was originally published May 19, 2026 at 6:30 AM.

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