Projected headline 'Starbucks Korea Tank Day Fallout: CEO Ousted' on dark concrete at night with red neon glow

Starbucks Korea scandal over ‘Tank Day’ sparks CEO exit

Starbucks Korea scandal over ‘Tank Day’ led to a CEO dismissal and a 5.5% E-Mart share drop. Will boycotts reshape Starbucks’ role in South Korea?

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Starbucks Korea’s chief executive has been dismissed and its parent company’s share price has fallen after a ‘Tank Day’ tumbler promotion, launched on 18 May 2026, sparked public outrage for appearing to reference one of South Korea’s most traumatic pro-democracy struggles.

The campaign, which offered discounts of 10–21% on a ‘Tank’ line of tumblers under the slogan “put it on the table with a sound of Tak!”, went live on the 46th anniversary of the 1980 Gwangju Democratic Uprising, when military forces deployed tanks and troops against protesters, according to reports from BBC, CNN, the Independent and Korean outlet MK.

BBC, CNN, the Independent and MK all reported that the use of the word “Tank” evoked the armoured vehicles used during the Gwangju crackdown, while the sound “Tak!” recalled a widely known phrase from the 1987 torture death of student activist Park Jong-cheol, when police claimed a ‘tak’ sound was heard before he collapsed.

According to BBC, the online promotion was suspended within hours as calls to boycott Starbucks Korea and its parent group Shinsegae spread across social media. CNN reported that shares in E-Mart, the listed retailer that owns 67.5% of Starbucks Korea operator SCK Company, closed down 5.5% in Seoul trading on 19 May, as the controversy intensified.

MK reported that Shinsegae Group chairman Chung Yong-jin ordered the dismissal of Starbucks Korea CEO Sohn Jeong-hyun and told executives to “find everyone involved and hold them accountable”. MK said Shinsegae also dismissed the executive in charge of planning the event and planned disciplinary procedures for all employees involved.

Sohn, who became CEO in 2023 and whose term had been renewed in October 2025, issued a resignation apology quoted by Seoul Economic Daily, saying he bowed his head in apology to “the spirits of May 18, the May organizations, the citizens of Gwangju, the bereaved family of martyr Park Jong-chul, and all those who led Korea’s democratization, who were deeply wounded by marketing that contained mistaken expressions about the May 18 Democratization Movement.”

Chung Yong-jin publicly accepted responsibility, calling the promotion “an inexcusable mistake that took lightly the suffering and sacrifice of all those who have devoted themselves to this nation’s democracy” and stating, “I keenly feel that all responsibility lies with me,” according to the Independent, Seoul Economic Daily and MK.

In a statement carried by MK, Starbucks Korea said it “recognised that the wording used in the online tumbler sales event inappropriately referenced the May 18 Gwangju Democratization Movement,” and that it had “immediately suspended the event once we became aware of it.” BBC reported that the company added: “We sincerely apologise for causing inconvenience and concern to our customers due to this,” and pledged to review internal processes.

Starbucks headquarters in Seattle also apologised. The Independent quoted a Starbucks Global spokesperson saying that while the incident was unintentional, “this should never have happened,” and recognising the “deep pain and offence” caused. CNN reported that the spokesperson told Reuters the company “sincerely apologize[s] to the people of Gwangju, to those impacted by this tragedy, and to our customers and communities,” adding that leadership accountability actions had been taken and a “thorough investigation is underway.”

South Korean president Lee Jae Myung strongly condemned the campaign in posts on X, describing it as “such a low-class merchant’s inhumane behaviour, which denies our country’s values of basic human rights and democracy” and questioning “how could they hold a ‘May 18 Tank Day’ event that insults the blood-soaked struggle of Gwangju’s victims and citizens?”, according to BBC and MK.

The Independent, citing reporting by the Korea Times, noted that Shinsegae senior executive vice president Kim Soo Wan travelled to Gwangju to apologise on behalf of the group, but victim organisations declined to meet him, saying he had come without prior consultation.

Seoul-based tech and business outlet Seoulz reported earlier in May that Starbucks Korea generated ₩3.1 trillion (around US$2.1 billion) in sales in 2024, making it the country’s largest coffee chain by revenue, while news agency Yonhap reported that Starbucks operated 2,115 stores in South Korea at the end of 2025, its third-largest market by store count worldwide.

Yonhap also reported that Starbucks Korea’s 2025 operating profit was ₩173 billion (US$119 million), a 9.3% decline from 2024, while a company official told the agency on 14 February 2026 that the chain nevertheless expected to add at least 100 new outlets in 2026. [UNVERIFIED]

Independent, MK and Seoul Economic Daily reported that Shinsegae has pledged a group-wide review, including an investigation into how the promotion was approved, re-examination of marketing review processes, reorganisation of deliberation standards, and history and ethics training for all executives and employees.

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