Group 1: Alcohol Price Trends - Alcohol prices in China have been declining for several months due to weak consumer demand and a selling spree, with August prices down 0.2% month-on-month and 1.9% year-on-year [4] - The price drop affects both imported wines and domestic brands, including the renowned Chinese liquor, Moutai, which has seen prices fall to 1,700 RMB on online platforms [4] - The overall decline in alcohol prices indicates a widespread issue across the industry, impacting various segments [4] Group 2: Diageo's Board Appointment - Diageo has appointed John Rishton as a non-executive director, effective November 1, 2025, bringing over 40 years of industry experience [6] - Rishton has held significant positions, including CEO of Rolls-Royce and president of Royal Ahold, enhancing Diageo's leadership with his extensive background [6] - The addition of Rishton is expected to inject new vitality into Diageo [6] Group 3: ASC Fine Wines Expansion - ASC Fine Wines has announced a major team expansion plan, recruiting over 12 positions across various business areas in mainland China and Hong Kong [8] - The investment in talent aims to enhance the company's ability to support customers and suppliers, preparing for the next phase of wine culture development in China [8] - The new sales managers have expressed confidence in meeting the growing demand for quality wines in the region [8] Group 4: Pernod Ricard's Strategic Shift - Pernod Ricard USA has announced a significant market strategy shift, focusing on ready-to-drink (RTD) beverages and high-potential brands [10] - The company has established two new departments to drive growth, despite a recent 6% decline in sales in the U.S. market [10] - Pernod Ricard aims to achieve an organic growth target of 3%-6% from 2027 to 2029 while planning to save 1 billion euros in costs over four years [10] Group 5: French Wine Production Forecast - France's wine production is projected to reach 3.74 billion hectoliters in 2025, a 3% increase from 2024, but below the five-year average of 13% [12] - Regional production shows significant variation, with Burgundy expected to grow by 45% and Jura recovering with a 200% increase [12] - However, regions like Alsace and Languedoc-Roussillon are facing declines, indicating ongoing challenges in the industry [12]

Core Insights - The IWSR report indicates a significant restructuring in the Asia-Pacific alcoholic beverage market, with an overall slowdown in growth, particularly in China where baijiu sales have declined by 5% while gin sales surged by 20% [1][6] Group 1: Market Overview - The total beverage alcohol (TBA) volume in the Asia-Pacific region is projected to decrease by 2% in 2024, with a 3% decline in total value [2] - Major categories such as beer (-3%), spirits (-2%), and wine (-4%) have all experienced value declines, while ready-to-drink (RTD) beverages saw a slight increase in sales (+1%) [2] - India stands out with a TBA growth of 6%, driven by a 19% increase in ultra-premium product consumption, contrasting sharply with China's 5% decline [2][5] Group 2: Regional Performance - The Philippines, Thailand, and Vietnam recorded a TBA growth of 2%, while Japan (-1%), South Korea (-1%), and Australia (-3%) faced declines [2] - The Indian market is benefiting from a recent UK-India free trade agreement, which will significantly reduce import tariffs on Scotch whisky and British gin, fostering growth in these categories [5] Group 3: Category-Specific Trends - In India, there is a notable increase in the consumption of Irish whiskey (+58%) and vodka (+17%), indicating a shift in consumer preferences beyond traditional whiskey [5] - In China, the decline in key categories such as baijiu (-5%), cognac (-14%), and Scotch whisky (-8%) is attributed to reduced formal consumption occasions [6][8] - Gin and vodka are benefiting from the rising cocktail culture, with gin sales increasing by 20% and vodka by 4% in China [6] Group 4: Future Projections - IWSR forecasts that from 2024 to 2034, beer sales in China will remain stable, while RTDs are expected to grow at a CAGR of 2%, and sparkling wine at +5% [9] - The report predicts a compound annual growth rate (CAGR) of 7% for Scotch whisky and 3% for gin in India from 2024 to 2029 [5] - The overall spirits category in the Asia-Pacific is expected to decline by 1% CAGR, but excluding baijiu, the growth rate is projected at +2% [9] Group 5: Wine and Beer Trends - The wine category in the Asia-Pacific region faced a 4% decline in 2024, an improvement from the 8% drop in 2023, with still wine and other wine categories contributing to the decrease [13] - Beer sales are expected to continue declining until 2026, with a projected recovery starting in 2027, particularly in India, Vietnam, Thailand, and the Philippines [14][16] Group 6: RTD Growth - RTDs are positioned for strong growth in the coming years, primarily driven by Japan and Korea, with a projected CAGR of +3% from 2024 to 2029 [17] - Japan is expected to be a key driver for RTD growth, while China, Korea, and India are also anticipated to see increases in this category [17]