China’s wine company, Yantai Changyu Pioneer Wine, has signed an agreement with Chile’s Bethia group to buy three vineyards in the South American country for over 50 million U.S. dollars. According to the Chilean El Mercurio daily, the operation will be concluded at the end of June, once the relevant authorizations have been obtained from China…Full Article: ECNS.cn May 2017
- In addition to Chile, Yantai Changyu Pioneer Wine (SHE:000869) has operations in China, France, Italy, and New Zealand. As of 2016, Bethia Group was Chile’s 7th largest winery by sales.
- In 2016, Alibaba’s Jack Ma purchased two Boudreaux vineyards (i.e. Chateau Guerry and the Chateau Perenne). At the time, Chinese investors reportedly owned 100 vineyards in southwestern France or roughly 1.5% of the region’s 7,000 vineyards.
- In February 2016, Alibaba purchased the Chateau de Sours vineyard (500,000 bottles of wine per year) in Bordeaux, southern France.
- As of December 2015, 25 Chilean wineries had representative offices in China.
- In January 2015, China’s import duty rate for Chilean wine dropped from 11.2% to 0% as a result of the FTA. Chile also has a strong trade presence in the coastal city of Qingdao.
- In 2014, the Hangzhou-based New Century Tourism Group (luxury hotels) purchased a Bourdeaux vineyard (Chateau de Birot, 25 ha of vines out of a total 34 ha).
- As of early 2014, Chinese investors had bought approximately 70 Bordeaux area chateaus (~1% of Bordeaux’s 8,000 chateaus).
- In August 2012, rumors of pesticide contamination in Yantai Changyu Pioneer Wine (SHE:000869) wines caused the company’s share price to drop 10%.
- In October 2006, the FTA went into effect.
- In November 2005, China and Chile signed the China-Chile Free Trade Agreement (FTA).
- In 1892, Chinese businessman and famed diplomat, Zhang Bishi, founded the ChangYu Pioneer Wine Company in Shandong Province. Zhang Bishi imported approximately 120 grape varieties from Europe and the United States, with Cabernet Gernischt (aka Cabernet Shelongzhu or Cabernet snake pearl), emerging as the dominant variety. Cabernet Gernischt, a distant relative of Cabernet Franc, is an orphaned grape variety that was likely wiped out during a phylloxera outbreak that spread across Europe during the late 19th century.
Hong Kong Trends