A new export report from Wine Australia shows that after an initial surge in sales after Chinese tariffs on Australian wine ended last year, Aussie wine sales to China have begun to stabilise.
In the 12 months ending June 2025 exports to China totalled $893mn (AUD), with 850,000hls of wine reaching the country's shores.
After the initial surge in sales thanks to a re-stocking phase, the data shows that sales to mainland China are likely normalising with the quarter ending June 2025 being 35% smaller in value than the same quarter in 2024 ($254mn vs $389mn).
As Peter Bailey, manager, market insights at Wine Australia, reflected: “The return of mainland China offers a valuable market, with global wine consumption at its lowest level since 1961.
“However, it has only had a small impact on total export volume, as the volume shipped to mainland China is half of what it was at its peak in 2018. This reflects the decline in wine consumption in the Chinese market over the last five years; the market is now only a third of the size it was in 2019.”
Australian exports of wine to the rest of the globe have declined 11% in value, falling to $1.59bn, as well as 6% in volume to 5.54mn hls. This fall was driven in strong part by a 12% fall in export value to the US. A confluence of factors are at play in this decline, including poor category recruitment amongst younger people, increased competition from other drinks categories, as well as the ever-haunting spectre of tariffs.
Sales to the UK were down 1% in value to $350m and 6% in volume to 2.04m hls, indicating a premiumisation shift in the UK market.
Canadian sales saw an impressive uplift, in part thanks to the removal of American wines across Canadian liquor boards in response to US tariffs. This saw the value of exports rise 7% to $157m with volume down 10% to 610,000 hls.