South Korea's Mongolia visit fuels handshake video feud and showcases Korean retail boom

President Lee Jae‑myung led a state visit to Mongolia in early September, attending the Naadam festival in Ulaanbaatar and meeting President Oyun‑Namsrai. A video of his wife, Kim Hye‑kyung, shaking hands with the Mongolian president and then rubbing her hand circulated on social media, prompting accusations of rudeness. South Korean officials said the hand‑rubbing was unrelated to the handshake, explaining that Kim was relieving soreness after drawing a heavy traditional bow, and that the clip had been maliciously edited.

The trip also underscored the extensive presence of Korean businesses in Mongolia, which locals refer to as a “Mongtan New City.” Korean convenience‑store chains such as CU and GS25 now operate hundreds of outlets, while EMart’s No Brand, bakeries like Tous les Jours, and other Korean consumer‑goods firms have opened new stores. The burgeoning Korean retail footprint is aided by strong local demand, a youthful urban population, and improving bilateral trade ties following a Comprehensive Economic Partnership Agreement that will soon eliminate tariffs on many Korean products, including cosmetics.