Italian wine loses positions in the Far East

The decrease in wine imports into China continues in 2023 due to the general slowdown of the economy. Specifically, the Chinese market has slipped to ninth place in terms of value of wine imports worldwide from fourth in 2018, highlighting a decline of more than 20% compared to 2022. This is a negative trend which has also affected countries such as South Korea and Japan, important destination markets in the Far East for made in Italy wine.
This is the evidence that emerges from the Report that Nomisma Wine Monitor dedicated to the Far East.
France confirms itself as China’s first trading partner, with almost 50% of the market share, followed by Chile and Italy, which is on the third step of the ranking with 10%. Australia, leader in 2020, continues to remain excluded from the ranking following the heavy duties imposed by China in recent years, although an agreement reached between the two governments should put an end to this tax as early as this year. Overall, all China’s top 5 trading partner countries are declining in terms of export value, with the exception of the USA.
As for South Korea, after five years of continuous growth, in 2023 the market recorded a setback in wine imports, with a decrease in both value and volume compared to the previous year. Despite a significant decline, also in this case France confirms itself as the country’s leading commercial partner, followed in order by the United States, Italy (with a share of 13%), Chile and Spain.

Finally, Japan also showed a decline in imports in 2023, highlighting a decline in both value and volume compared to 2022. Specifically, wine imports in 2023 once again see France in command, with a market share which is close to 60%. Italy follows with 12%, in line with 2022. “In the Asian context of wine consumption, China continues to lose positions, denoting drops in both imports and internal production, while Japan and South Korea – despite faced with this setback which has common features at a global level – should maintain significant growth potential and interest in Italian wines” underlines Denis Pantini, Head of Nomisma Wine Monitor. Going into more detail, in 2023 imports of bottled still and sparkling wines into China will decrease in both value and volume. France confirms its position as market leader, followed by Chile and Italy. In South Korea, where bottled wines represent around three-quarters of imported wines, there has been a drop of more than 20% in both value and volume, with Italy confirming itself in third place behind France and the USA.

In this specific segment, France is also the leader in Japan, preceding Italy, the United States, Chile and Spain in that order. In relation to the Sparkling category in China, there have been marked contractions in both volume and value. France firmly maintains market leadership, ahead of Italy. In South Korea, there was an increase in value (+3.6%), contrasted with a drop in imports in volume of more than 20%. In this market, Italy confirms itself in second position despite significant drops in both value and volume. Finally, in Japan, the Sparkling category recorded a slight decrease in value compared to 2022 compared to a double-digit reduction in imported quantities. Regarding the import of bulk wine, in China the contractions were more significant compared to the year previous year, with Italy dropping out of the top 5 exporters ranking. For South Korea, however, bulk wine is the segment that has recorded significant increases in imports both in value and, above all, in volume.

In Japan, however, imports of this type of wine have suffered drops close to 20%. Lastly, the general negativity recorded in 2023 has also influenced exports of Italian PDO wines. In China, among the main imported denominations, the PDO reds from Piedmont and Veneto suffered the most, while purchases of Tuscan reds increased, as did in South Korea and Japan.