Closure
Due to a slowing economy, many enterprises in China closed down in 2024, including those in the wine industry, with nearly 800 wine companies deregistered in 2024.
Several once-promising châteaux succumbed to financial pressures. This year, Luoshan Chateau (罗山酒庄), a fourth-tier winery in Ningxia, filed for bankruptcy reorganization. Vigena Estate (维格那葡萄酒有限责任公司), an ice wine producer in Liaoning, was forced into auction by the court due to its inability to repay debts. Additionally, Xuanyan Wine (轩言酒庄) in Xinjiang, which held dual organic certifications from the EU and China, was listed for sale.
The closures weren’t confined to wine producers. Since 2023, a wave of closures in once-prosperous small bistros had begun and continued into 2024. This year, You Jishan Tavern (囿吉山), invested in by the famous hotpot chain brand Haidilao (海底捞), closed down, as did Wine Universe (宇宙酒馆) in Chengdu and L’atelier Chic Choc in Shanghai.
High-end restaurants also faced closures. Ultraviolet by Paul Pairet, a Michelin three-star restaurant for eight consecutive years, announced its closure in November. The foreign-owned Camel Hospitality Group also shut down all of its controlled restaurants in the same month.
These closures hit the wine industry hard. These boutique restaurants and bistros were key customers of the wine industry. Their operational difficulties and closures not only reduced sales opportunities for wine importers but also created payment challenges for some wine merchants.
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