China Chamber of Alcohol Importers and Exporters released data on 13 major wine import countries in China from January to June 2019.
For the whole market share, Australia, France and Chile have the overwhelming advantage in the top three, followed by Italy and Spain with a combined market share of about 12%, and other countries with a market share of about 1%.
Overall, the import wine market in China showed a slight decline in the first half of 2019. The total import volume was 315 million litres, down 14.09% year on year; the total amount was about 1.229 billion dollars, down 19.46% year on year; the average price was $3.9 per litre, down 6.25% year on year.
Australia, France and Chile accounted for most of the total imports.
The largest country is Chile, with 93.066.2 million litres, followed by Australia and France with 74.056 million litres and 69.845.4 million litres.
Advantages of Australian Wine Export to China
Zero Tariff Era
Following the signing of the Free Trade Agreement (FTA) between China and Australia on December 20, 2015, the tariff rate on Chinese imports of Australian wine was reduced from 14% to 11.2%. According to the terms of the agreement, the tariff rate will be reduced by 2.8% from January 1 every year after the signing of the agreement. By 2019, China’s import of Australian wine has achieved zero tariff.
Transportation costs are relatively convenient and cheap
Compared with European wines, Australian wines have a shorter shipping distance, lower cost and lower risk factor. In addition, due to the bankruptcy of Hanjin Shipping, European shipping companies generally raised shipping prices, but Australian shipping was less affected, so operators and distributors will also begin to shift to Australian wine.