Imported wines face significant challenges in China’s vast beverage alcohol market, dominated by local favorites like beer and baijiu. Despite this, experts believe that evolving consumer tastes and strategic positioning can help international wine brands carve out a place in the market.
Beer and baijiu, China’s two most popular alcoholic beverages, continue to dominate the market in both volume and value, overshadowing imported wines. According to Ian Ford, founding partner of Nimbility, a market and brand building agency, these local beverages are deeply embedded in China’s dining culture and face little competition from abroad. Both are predominantly domestically produced, have near-total distribution coverage across the country, and are priced affordably for consumers.
“Baijiu and beer are staples in Chinese drinking culture for a variety of reasons,” Ford explains. “They’re easy to access and come in a range of affordable options, making it difficult for imported wine to break through.”
For international wine brands to succeed in China, Ford believes they must focus on the on-trade market, especially within the country’s traditional dining settings. “To make inroads, wine needs to be positioned as part of the dining experience, especially in traditional Chinese restaurants,” he adds. “By pairing wine with food, it becomes a viable alternative to beer and baijiu.”
Recent data, however, shows some signs of progress for imported wines. In 2024, China imported 18.4 million 9-liter cases of wine, with an average price of $78.09 per case, according to the General Customs Administration of China. This marks a significant increase from 2023, when imports totaled 16.9 million cases at a much lower average price of $59.25 per case.
A notable factor in the 2024 surge is the resurgence of Australian wines following the lifting of trade sanctions, although Ford cautions that some of the increase may be due to “opportunistic loading” from large labels. Despite this, he believes that the higher import numbers largely reflect genuine market demand, as many importers remain cautious about stockpiling excessive inventory.
Consumer preferences are also evolving. Ford notes that younger generations in China, particularly those aged 25 to 35, are showing a growing disinterest in baijiu and beer. “The next generation of Chinese consumers will likely move away from baijiu and beer in favor of other options,” Ford predicts. This shift is partly attributed to improvements in domestic wine production.
“Chinese winemakers are playing a pivotal role in the development of the local wine market,” Ford argues. “Their focus on producing high-quality wines and crafting compelling stories will resonate with younger Chinese consumers and help establish a sustainable wine culture in the country.”
Ford is optimistic about the future, not just for domestic wines but also for imported labels. He believes that, much like American winemakers have become ambassadors for the global wine industry, Chinese winemakers will similarly promote wine culture in China. “China could follow the same trajectory as the U.S., where domestic production and imports coexist and support each other,” he concludes.
As China’s wine market continues to evolve, the success of imported wines will depend on their ability to adapt to local tastes, align with dining traditions, and leverage the growing interest in wine among younger consumers.
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