Starbucks(US:SBUX) Xin Hua She·2025-11-07 12:48Core Insights - The coffee industry in Kunshan, Jiangsu, has rapidly developed into a billion-yuan industry chain, accounting for 60% of China's coffee bean roasting volume and over 60% of bean imports, with more than 100 leading coffee companies established in the area [1][2]. Industry Development - The Starbucks China Coffee Innovation Park, the largest roasting facility outside the U.S., began operations in 2023, significantly reducing the time from bean arrival to roasting and distribution to stores across China to as little as 10 days [2]. - Kunshan's strategic location near Shanghai, the integration of the Yangtze River Delta, and an optimized business environment have attracted major coffee companies [2]. Infrastructure and Supply Chain - The establishment of the Asia-Pacific Coffee Bean Distribution Center addresses the infrastructure gap in the coffee supply chain, allowing small and medium-sized roasting companies to purchase beans directly, thus reducing costs [4][5]. - 90% of imported coffee beans can now undergo inspection upon arrival, cutting inspection times by two-thirds and streamlining the import process [4]. Economic Impact - The coffee culture has become a significant part of Kunshan's identity, with coffee shops proliferating throughout the city, contributing to its cultural landscape [5]. - Companies like Fei Fu Biotechnology (Jiangsu) Co., Ltd. are experiencing growth, with projected revenues of 20 million yuan this year, a 20% increase from the previous year, due to the favorable conditions in Kunshan [5]. Future Outlook - Kunshan aims to establish itself as an international coffee capital, targeting a billion-yuan scale for its coffee industry and developing a "coffee+" cultural brand matrix [5]. - Initiatives like "coffee going rural" are being promoted to introduce quality coffee beans to rural areas, enhancing local coffee culture [7].