CANBERRA - Australian wine exports recorded a strong rebound in the 12 months to March 2025, driven by surging demand from China after the removal of tariffs on Australian bottled wine.

According to the latest export report released on Tuesday by Wine Australia, the country's wine industry regulator, total Australian wine exports rose 41 percent in value to 2.64 billion Australian dollars, with volumes increasing 6 percent to 647 million liters.

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Notably, exports to the Chinese mainland soared to 96 million liters, valued at 1.03 billion Australian dollars, accounting for nearly 40 percent of Australia's total wine export value, the report said, adding the dramatic increase follows the elimination of tariffs at the end of March 2024, marking a full year of uninterrupted trade.

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Chinese consumers' strong preference for premium Australian wines played a key role in the recovery, it said, adding the average export value to China reached 10.65 Australian dollars per liter, the highest among Australia's top export destinations.

Packaged wine shipments, particularly high-end glass-bottled products, accounted for 93 percent of the total export value to China, according to Wine Australia.

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Despite the impressive recovery in the Chinese market, Australian wine exports to the rest of the world declined, it said.

Exports outside China fell 13 percent in value and 9 percent in volume, reflecting broader global challenges such as economic uncertainty, cost-of-living pressures, and evolving consumer preferences for lower alcohol consumption, the report said.

Wine Australia emphasized that China has re-emerged as a critical growth market for premium wine exports, helping to stabilize the sector in an increasingly uncertain global environment.