Why China’s Next Wine Boom Won’t Happen Where You’d Expect

Until recently, wineries and producers looking to expand into China have focused their efforts on just four cities: Shanghai, the country’s wine capital; Shenzhen, the boom town bordering Hong Kong; Chengdu, the vibrant hub of Southwest China; and Beijing, the Chinese capital.

These so-called “first-tier” cities boast massive populations, advanced infrastructure and robust GDPs. Yet growth in these urban powerhouses is becoming increasingly difficult. The market is saturated, competition is intense and the economic climate is shifting.

Skyrocketing living costs, soaring housing prices and relentless work cultures have taken a toll on residents’ disposable income and lifestyle choices. These cities, once the engines of consumer growth, are now being hit hardest by the economic downturn. With their high exposure to financial and tech sectors, their primary consumers — typically high-income earners — are scaling back spending. The property market’s decline has also had a disproportionate impact on these cities, directly dampening consumer confidence and spending.

As a result, smaller second-, third- and even fourth-tier cities now hold the key to the future of wine sales in China. With more affordable housing, lower living costs and a more balanced lifestyle, residents in cities such as Dalian (Liaoning Province), Hefei (Anhui) and Guiyang (Guizhou) are better positioned to spend on non-essential categories like wine.

This is why it’s critical to examine China’s power players in wine beyond Shanghai and Shenzhen but also where future growth is likely to emerge. Regions like Southwest China, which imported just US$27.37 million in 2024, are showing rapid premiumisation, with value growth outpacing volume — a sign of rising demand for quality wine. The breakdown of China’s Top 100 Wine Importers by region offers a clear picture of how market power is shifting.

NORTH CHINA

North China, comprising Beijing, Tianjin, Hebei, Shanxi and Inner Mongolia, recorded a GDP of RMB16.72 trillion (US$2.31 trillion) and a population of 168 million in 2024. Anchored by the Beijing-Tianjin-Hebei (Jing-Jin-Ji) urban cluster, the region is a major hub for both wine consumption and imports. Beijing, with a GDP of RMB4.98 trillion and a per capita income exceeding US$30,000, stands out as one of China’s wealthiest and most dynamic wine markets. As the political and cultural capital, its demand spans from entry-level to fine wine, driven by state-owned enterprises, corporate headquarters, and diplomatic circles.

The city is home to some of the country’s most influential importers, including ABA Trading, China Wine Platform, and Wajiu Group, as well as wine KOL Wang Shenghan’s Lady Penguin brand.

In 2024, North China imported 29.35 million litres of wine, up 8.72% year-on-year, with a total value of US$127.8 million—a 4.95% increase. With its affluent consumers, strong infrastructure, and prominent distributors, North China remains a vital gateway and growth market for imported wine.

NORTHEAST CHINA

Northeast China, home to Heilongjiang, Jilin, and Liaoning, posted a GDP of RMB6.34 trillion (US$876 billion) and a population of 95.83 million in 2024. Key consumption hubs like Harbin, Changchun, Shenyang and Dalian lead in retail sales, making them central to the region’s wine market.

Despite facing long-term economic stagnation and youth outmigration, the region shows a strong preference for widely recognised and highly liquid brands, with Penfolds 389, 407 and 707 maintaining steady demand and resale value.

In 2024, Northeast China imported 2.09 million litres of wine, a 16.36% increase year-on-year, with total value rising 29.71% to US$14.17 million. Though smaller than coastal markets, the region’s brand-driven preferences and rising imports suggest growing potential among mainstream wine consumers.

EAST CHINA

East China, which includes Shandong, Jiangsu, Anhui, Zhejiang, Fujian, Jiangxi provinces, and the municipality of Shanghai, is China’s most economically advanced region. In 2024, its total GDP reached RMB52.22 trillion (approximately US$7.21 trillion), with a permanent population of 425 million. Jiangsu, Shandong and Zhejiang ranked among the nation’s top four provincial economies, while Shanghai and Wuxi reported per capita GDP nearing US$30,000, highlighting the region’s affluence.

East China is also home to the Yangtze River Delta urban cluster, the largest and most developed in the country. As China’s largest imported wine market and one of its most sophisticated, Shanghai has long embraced Western lifestyle trends, fostering a vibrant wine bar and champagne nightclub culture. It also serves as a key entry and distribution hub for imported wine, with major international players like Treasury Wine Estates, Concha y Toro and DBR Lafite basing their China operations there.

Other coastal provinces — Zhejiang, Fujian, and Jiangsu — are major markets, supported by strategic port cities like Ningbo, Xiamen and Fuzhou. Yantai in Shandong is China’s largest bulk wine import hub. Leading companies such as ASC Fine Wines, Zhejiang Sunrise Supply Chain Co., Ltd., Xiamen Fond Wine and Xiamen C&D are among those shaping the region’s wine market.

East China dominates China’s imported wine trade, with nearly 50 of the Top 100 importers headquartered in the region. In 2024, it imported 203.9 million litres of wine valued at US$1.1 billion — up 17.4% in volume and 46.7% in value year-on-year — accounting for nearly 69% of the country’s total wine import value and cementing its leadership in the sector.

SOUTHCENTRAL CHINA

Southwest China — covering Sichuan, Guizhou, Yunnan, Tibet and Chongqing — reported a GDP of RMB15.39 trillion (US$2.12 trillion) and a population of 205 million in 2024. Anchored by the Chengdu-Chongqing urban cluster, the region is home to two of China’s largest cities, which serve as economic and population hubs and have fostered a growing wine market. Notable distributors such as Chongqing Jinhongli, Sichuan Saint Gamitour and Chengdu Fine West cater to a wide range of consumer segments, from budget flash sales to premium imports.

Chengdu also hosts the influential Spring Edition of the China Food & Drinks Fair, helping to bring coastal wine trends inland and position the city as a national wine trading centre. While the region trails others in per capita GDP — Chongqing and Chengdu ranking among the lowest of China’s trillion-yuan cities — many wine businesses based here have expanded nationally to drive growth.

In 2024, wine imports rose 9.22% in volume to 2.9 million litres, while value surged 36.94% to US$27.37 million, signalling a shift toward higher-quality wine consumption in this emerging yet increasingly sophisticated market.

NORTHWEST CHINA

Northwest China — which includes Shaanxi, Gansu, Qinghai, Ningxia and Xinjiang — recorded a GDP of RMB7.85 trillion (US$1.08 trillion) and a population of 103 million in 2024. As one of China’s most inland and less economically developed regions, demand for imported wine remains limited, with domestic production dominating in key wine-producing areas like Ningxia, Gansu and Xinjiang.

Xi’an, the region’s most developed city, has a modest imported wine market, while Xinjiang’s proximity to West Asia has positioned it as a gateway for Georgian wines entering China via land routes. In fact, the only Top 100 wine importer based in the region specialises in Georgian wine. Despite low overall volumes, Northwest China saw significant growth in 2024, with wine imports rising 56.90% in volume to 943,022 litres and 36.89% in value to US$3.35 million — indicating a small but fast-growing and evolving market.

Author: Natalie Wang, Editor at Vino Joy News