As the global fine wine market endures a period of volatility, Asia is quietly stepping into a more prominent role. While the Liv-ex Fine Wine 100 Index posted its steepest monthly drop since August 2023 in April, Asian buyers have begun to fill the gap left by the retreating U.S. market—led by a resurgent demand for Bourgogne.
Notably, from January to July 2024, Bourgogne wine exports to China surged 35%, a striking reversal amid broader market headwinds and a clear sign that Bourgogne’s appeal in China is gaining momentum.
Weak U.S. Demand, Hope from Asia
According to the May report from Liv-ex, the London-based global wine exchange, the Liv-ex Fine Wine 100 Index declined 1.7% in April—its sharpest drop in nine months. The fall was largely attributed to waning demand from the U.S., driven by lingering Trump-era tariffs and the recent weakening of the U.S. dollar.
Liv-ex data shows the U.S. share of trading volume has dropped steadily since March, falling to below 15% in May—more than 20% points lower than its 2024 average.
In contrast, Asian buyers have steadily increased their market share. Except for January, Asia’s share of Liv-ex purchases in the first five months of 2024 has exceeded the annual average. In May alone, Asian buying rose 10.1% month-on-month and 25.2% year-on-year—an impressive 33.7% higher than the region’s 2024 monthly average.
Burgundy Gains Ground as Bordeaux Slips
By region, Bordeaux still commands the largest share of spending by Asian buyers, but that dominance is slipping. Since March, Bordeaux’s share in Asia has declined, dipping below 40% in both April and May.
Meanwhile, Bourgogne is gaining traction. In April and May, Bourgogne’s share of purchases by Asian buyers climbed to nearly 35%, approaching Bordeaux’s lead and well above Bourgogne’s 2024 average of under 25%.
Liv-ex attributed the trend to a shift in market sentiment. One Asia-based wine merchant noted that since early April, mid- to high-end wines have become increasingly scarce in the local market, and buyer confidence is starting to return. In May, the number of Bourgogne buyers in Asia reached a two-year high.
Burgundy’s Rising Star in China
Nowhere is the changing dynamic between Bordeaux and Bourgogne more evident than in China.
“Many importers in China who once focused on Bordeaux grands crus are now pivoting to Burgundy, and that shift is fueling Burgundy’s overall growth,” said Kevin Wu, CEO of Fine West, one of China’s leading fine wine importers and one of Vino Joy News’ Top 100 Wine Importers.
Wu observed that Bordeaux faces challenges in China due to “excess inventory, low margins, and weak demand.” Major platforms offering deeply discounted Bordeaux through cross-border e-commerce and subsidies have made it increasingly difficult for smaller importers to compete—particularly as Bordeaux’s core consumption channel, business banquets, continues to decline.
“By contrast, Burgundy resonates more with Chinese consumers who care about lifestyle and quality. The market is expanding,” Wu explained. “Wine merchants need something to work on, and many have identified Burgundy as the next opportunity.”
He noted that white Bourgogne is currently more popular than red, particularly wines with strong regional identity and well-established brand names.
Sophie Liu, an independent wine critic and certified educator with the Bourgogne Wine Board (BIVB), said that it’s not only top-tier Burgundy wines gaining traction. Affordable options are also finding favour among Chinese consumers.
“Wines from the Mâcon region and generic Bourgogne-level wines, which were once overlooked, are now growing in sales,” she said. “Some consumers who used to favour premium Burgundy are still drinking it—but now opting for more budget-friendly versions.”
She also highlighted the geographic spread of Burgundy’s popularity: “Previously concentrated in first-tier cities like Beijing, Shanghai, Guangzhou, and Shenzhen, acceptance is now growing in second- and third-tier cities.”
Broad-Based Growth Points to Structural Shift
Burgundy’s growth in China coincides with a broader consumer trend toward white wines and lighter, fresher styles. This shift isn’t confined to the fine wine segment—it spans all price points, from luxury labels to everyday bottles.
During the 2024 Vinexpo Asia, BIVB President Laurent Delaunay noted a surge in white wine sales in both mainland China and Hong Kong. In 2023, exports of Chablis and Petit Chablis to China rose by 89% in volume and 71.2% in value. Mâcon exports soared 130%.
The momentum has continued into 2024. According to data from the Burgundy Wine Board (BIVB), in 2024, Bourgogne wine exports to China rose by 15% to 2.99 million bottles, while export value declined by 5.1% to €62.3 million—suggesting a greater influx of more affordable Burgundy wines into the Chinese market.
A Foundation for the Next Market Cycle?
Despite ongoing uncertainty in the global fine wine market—driven by shifting policy landscapes and supply-demand realignments—Asia, and particularly China, is showing resilience. Bourgogne, in particular, stands out as a category with growing appeal.
From evolving consumer preferences and price tier shifts to broader market structural changes, Asia’s return to the fine wine buying table—led by Bourgogne—could well lay the groundwork for the next upcycle in the global fine wine trade.
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