Two Starbucks stores opened Friday [11 September 2015] in Xining City, capital of northwest China’s Qinghai Province, the first of the global coffeehouse chain on the Qinghai-Tibet Plateau. The two stores, close to each other, are in Limeng Business Street in the downtown area. “There is no Starbucks in Tibet (Autonomous Region). It is the first Starbucks store on this plateau area in China,” said Guo Yi, senior customer manager of Blue Digital, a marketing agency in partnership with Starbucks…Full Article: ECNS.cn Sept 2015

Key Point

  • In 1999, Starbucks opened its first coffee store in China. As of 2015, Starbucks has 1,700 Chinese coffee stores.

ChinaAg Comments

  • In March 2015, Tianjin’s Tingyi Group signed a deal with Seattle’s Starbucks to produce and distribute the coffee company’s ready-to-drink products in mainland China.
  • As of December 2014, according to the President of Starbucks China, the company had 1,400 shops located across 84 cities.
  • In January 2013, Starbucks China announced plans to have 1,500 shops by 2015.
  • Coffee production in China is focused on Yunnan province, which accounted for 90% of China’s output in 2012. In 2009, Guangdong province halted coffee production, while Hainan Island produces ~440 MTs annually.
  • Founded in 1992 and headquartered in Tianjin, Tingyi is a major Chinese producer and distributer of instant noodles, beverages and other prepackaged meals. In March 2012, Tingyi and PepsiCo established a strategic beverage alliance. As a result of the partnership, a beverage subsidiary of Tingyi (Asahi Beverages) became the franchise bottler for PepsiCo in China.

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