Core Viewpoint - The chairman of Jinmailang responded to the controversy regarding the OEM production of Wahaha bottled water, clarifying the partnership and production details between the two companies [1][4]. Group 1: Partnership and Production Details - Jinmailang has produced over 50 million boxes (equivalent to 120 million bottles) of bottled water for Wahaha since the partnership began in May of the previous year [1]. - Jinmailang operates 26 production bases across the country, which allows for reduced transportation costs and efficient production capabilities, including 32 high-speed production lines out of 115 total beverage lines [1]. - Wahaha announced the termination of its partnership with Jinmailang effective April 2025, while Jinmailang's chairman indicated that the cooperation would end in May of this year [1][4]. Group 2: Product Quality and Market Response - Wahaha's statement acknowledged that some batches of bottled water did not pass factory sampling tests during the OEM production period, but assured consumers that all currently sold products meet national quality standards [4]. - Jinmailang's blue label bottled water is priced at 1 yuan, providing a competitive advantage in a market where similar products are priced at 2 yuan [2]. - The net profit for each bottle of blue label water is reported to be 0.02 yuan [2]. Group 3: Industry Context - Other companies, such as Suntory and Hema, also have OEM relationships with Jinmailang, with Jinmailang accounting for over 30% of Suntory's national production of oolong tea [8].

Core Viewpoint - The recent controversy surrounding Wahaha's bottled water, produced by Jinmailang, has led to public scrutiny and a swift response from the company, which has since terminated its contract with the manufacturer as of April 2025 [1][5]. Group 1: Company Response and Quality Assurance - Wahaha confirmed the existence of a contract manufacturing relationship with Jinmailang, which has now ended, and stated that all currently sold bottled water meets national quality standards [5][6]. - The company emphasized its commitment to its own production model and stricter quality control measures to ensure consumer safety and product quality [5][6]. Group 2: Market Position and Competition - Wahaha's bottled water market share is relatively small at 5.6%, compared to leading competitors such as Nongfu Spring (23.6%) and Yibao (18.4%) [7]. - The competitive landscape is intensifying with new entrants like Donglai, Oriental Selection, and Yuanqi Forest, which are altering the market dynamics [7]. Group 3: Recent Developments and Financial Performance - Wahaha's revenue for 2024 is reported to have reached 70 billion yuan, an increase of 20 billion yuan from the previous year, reflecting a growth rate of approximately 40% [6]. - The company has faced various public relations challenges, including a trademark transfer issue that has drawn significant attention [6].