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China’s Spirits 2016 Market Report Offer Insights for 2018

China’s Spirit Tradition

…is centuries old and the modern spirits market is primarily dominated by local drinks like Baijiu and Huanjiu. However, trade and exchange of goods and services have brought in global spirits into the Chinese markets, making the current spirits market of China a mixture of traditional drinks like Baijiu and Huanjiu along with the existence of wine beer and other hard drinks like Gin, Whisky, Vodka, etc.

The China Spirits Market Report: 2016 Edition research is of 64 pages with 47 Charts, 10 Tables and is now available in the food and beverages industry segment of‘s data and intelligence library. Complete report is available at

Growth Factors and Concerns

There are factors driving China’s spirit market like an increase in Gross Domestic Product (GDP) Per Capita, rising population of women, higher Per Capita Disposable Income, strong demand for traditional drink Baijiu, and increase in production capacity over the years.

There are however, challenges that China’s spirit market are, and will be facing in the near future. An anti-extravagance campaign of 2012 continues to affect the spirits market, relatively high excise/liquor taxes of Baijiu, per capita alcohol consumption has already surpassed the global level, a disjointed competitive market, and health concerns

Major developments in China’s spirit market do show promise for future sustainability and growth. Market consolidation, focus on the mid market segment, rising per capita alcohol consumption in rural areas that has surpassed urban areas, and digital innovations

Consolidation and 2018

A fragmented Chinese spirits market is very different than the global spirits market that is dominated by two enormous companies Diageo and Pernod Ricard. However, the Chinese Spirits market, as fragmented as it is, still may have the top domestic firms gather all the market share when market consolidation occurs. Baijiu, which has a large share of consumption in China’s spirit market, will allow three companies namely Moutai, Yanghe and Wuliangye prove to be key players in the industry.


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