Champagne maker Moët-Hennessy has decided to step foot in a vineyard in the mountains of China in order to produce red wine for the domestic Chinese market. This event followed on the trail of the recent speculation that the country could emerge as the world’s biggest gold market in 2012. Luxury brand LVMH has signed an agreement with a major alcohol, wine, and spirits distributor in China, VATS, to develop 30 hectares of vineyards at an altitude of 2,400 m in the mountains Yunnan located in southwest China.
The luxury champagne brand has been pursuing the Chinese markets aggressively, acquiring a Chinese spirits brand in the Sichuan area of China five years ago and beginning production of a premium sparkling wine in the province of Ningxia Hui. The fiery economic growth of the middle and upper classes in Chinese society has attracted major wine brands around the world.