China: Budweiser new brewery in China’s Fujan province becomes Asia Pacific’s largest craft brewery

Budweiser Putian Craft Beer Factory in China’s Fujian province has become the largest craft beer factory in the Asia-Pacific region, The Drinks Business reported on September 22.

Nestled in the Putian Hanjiang Budweiser InBev Food Industrial Park, Budweiser’s new craft beer factory is its largest craft brewery in the APAC and also the first craft brewery in Fujian, China.

The third Budweiser craft brewing factory was created in partnership with CIMC Liquid Process Technology; the company previously helped the beer giant deliver on its Budweiser Wuhan Craft Brewing Project and OB Craft Brewing Project in Korea.

Spanning around 7,450 sq metres, including offices, laboratory and a tourist corridor with an area to learn about the brewery process, the factory has the capacity to produce 10,000 tons per year of quality craft beer.

Saccharification equipment equips the factory for raw material processing, brewing and beer processing. Furthermore, energy-saving technology has been integrated into the facilities, together with a green, open layout of urban gardens to enhance its eco-friendly credentials.

In addition to producing the company’s first-line mature craft beer brands such as Goose Island and Boxing Cat, the brewery will also serve as the production base for “059 Shoreline Brewing Commune”, a local craft brand with Fujian cultural characteristics created by Budweiser’s brewing team.

In China, craft beer has become increasingly popular over the past few years, especially among young consumers. According to Taobao Tmall’s White Paper on the Trend of Liquor Industry in 2022, the number of craft beer consumers increased by 50% from 2019 to 2021.

Craft beer has also become a major driver for the future growth of the beer industry. It is estimated that by 2025, the consumption of craft beer in China will reach 2.6 billion litres as the penetration rate increases from the current 2.2% to 6.7%. The retail market size of craft beer is expected to reach RMB104 billion with a compound annual growth rate of 26% by 2025.

Mr. Jan Craps, CEO of Budweiser Brewing Company APAC Limited, said: “Our investment in China will continue to focus on three key areas in the future: high-end craft beer, digital transformation and business expansion. Budweiser Craft Beer Factory will continue developing high-end craft beer to meet consumers’ demand for high-quality, diversified and personalised beer. Budweiser also looks to build a mutually beneficial and win-win situation between the company and the local community.”

Mr. Ko Brink, deputy general manager of CIMC Enric and general manager of CIMC Liquid Process Technology, added: “Producing high-end and trendy beer is a major requirement for being competitive in the beer market. Additionally, with high-end differentiated categories such as craft beer rapidly growing, opportunities in the industry are also growing for the company. Moreover, as the liquor industry undergoes a comprehensive transformation to become greener and environmentally friendly, The company is excited to provide clients with inspiring new designs and technology that help them achieve carbon neutrality.”

23 September, 2022