Across production, consumption, and trade, the category remains under pressure. The report highlights and compares the state of the wine industry against 2024. The global vineyard surface area declined by 0.8% in 2025 to 7.0 million hectares (approx. 17.3 million acres), marking the sixth consecutive year of contraction.
In the European Union (EU), the vineyard area declined by 1.6% to 3.2 million hectares, accounting for 45% of the world’s total space. The decline is linked to subsidies for uprooting vineyards, primarily in France (740,000 hectares, -4.4%) and Spain (919,000 hectares, -1.3%), as the industry adjusts to market needs. After some growth in 2024, Italy also noted a slight contraction of 0.3%, bringing its total vineyard surface to 726,000 hectares. Germany recorded a small decline to 102,000 hectares, a decrease of 1.3%.
In contrast, Russia has recorded "sustained growth," having strongly promoted the development of its wine sector over the past decade. In Asia, following a period of expansion, China has now stabilized its vineyard sizes and has become the third-largest holder, estimated at 733,000 hectares. Interestingly, India’s vineyard area has been expanding with a growth rate of 4.6% to 197,000 hectares—roughly twice the size of Germany’s total area.
In North America, the United States ranks as the fifth-largest vineyard holder with 415,000 hectares. This represents a decline of 0.9% compared to 2024, marking the seventh consecutive year of contraction, which is largely driven by the ongoing uprooting of grapevines in California. Meanwhile, Australia was able to maintain its vineyard area, which remains broadly stable at 159,000 hectares.
Production volumes near historic lows
In 2025, global wine production, excluding juices and musts, is estimated at 227 million hectoliters, marking an increase of 0.6% compared to the historical low output of 2024. The 2025 figure represents the third consecutive year that production has remained 9.4% below the five-year average.
The European Union’s production is estimated at 136 million hectoliters, a small decrease of 1.3%. Despite recording one of its lowest volumes on record, the region remains dominant, accounting for approximately 60% of world wine production. The reduced output stems from weather-related disruptions; while some areas performed well, others experienced severe drought, hydric stress, and heat episodes that damaged vineyards.
Italy, currently the largest wine-producing nation globally, was one of the few countries to record an increase, reaching 44.4 million hectoliters (+0.7%). Nevertheless, the current volume remains 4.1% lower than its five-year average. The majority of growth was driven primarily by southern regions, while the north recorded a slight decline.
France, the world’s second-largest wine producer, yielded 36.1 million hectoliters, marking a significant 16% drop below its five-year average. Despite ongoing grubbing efforts, the low production volume is primarily linked to poor weather conditions across the country—from flowering to harvest—which impacted all wine regions and was followed by heatwaves in August.
Spain maintains its position as the third-largest producer with 28.7 million hectoliters. The total reflects a decrease of 2.4 million hectoliters (-7.7%) compared to 2024 and remains 17% below the five-year average. For the third consecutive year, drought and heatwaves led to a marked contraction in yields, resulting in one of the lowest harvest levels in recent decades.
Germany also recorded a smaller production volume of 7.6 million hectoliters, a 2.6% decline compared to 2024 and well below its average. The decline was largely linked to hot and dry conditions during the growing season, which constrained potential yields, followed by heavy rainfall during the harvest period that further reduced volumes.
On a positive note, Georgia’s production is estimated at 2.6 million hectoliters in 2025, a 5.0% increase over the historic vintage of 2024 and the largest volume recorded in the past 30 years. Current results stand 25.1% above the five-year average.
In Asia, despite stabilizing its vineyard acreage, China recorded a sharp decline in volume of 17.8%. Output has steadily decreased, and the country now ranks as the 18th-largest global producer. Such a trend is linked to weak domestic demand and a strategic shift toward premium positioning, which has narrowed the consumer base.
In the United States, the nation ranks as the fourth-largest wine producer in 2025. Production is estimated at 20.0 million hectoliters, which is 5.3% below 2024 and 16.2% below the five-year average. Low demand has put pressure on prices and margins, contributing to more cautious production strategies, particularly in California.
The Southern Hemisphere shows signs of a delicate recovery. After two very low vintages, output is expected to rise by 7.7% to 49 million hectoliters, representing about 22% of global wine output. The largest producer in the Southern Hemisphere is Australia, where wine production is estimated at 11.3 million hectoliters in 2025. The updated figure represents an 8.8% increase from 2024 but remains 3.7% below the five-year average.
Erosion of global consumption
Global wine consumption in 2025 reached an estimated 208 million hectoliters, representing a 2.7% decrease. Such a decline aligns with a broader trend of contracting global volumes, which have fallen 14% since 2018. In several mature markets, evolving lifestyle preferences, shifting social habits, and generational changes continue to reshape consumer behavior. Simultaneously, the wine industry faces external pressures such as geopolitical tensions, trade disruptions, and inflationary forces that have eroded consumer purchasing power.
Regional data reveals that the most significant declines occurred in China (-13%), the Netherlands (-12.7%), Italy (-9.4%), and South Africa (-7.7%). Major wine markets also saw downturns, with France recording a 3.2% drop, Germany a 4.3% decrease, and the United Kingdom a 2.4% decline. Conversely, Brazil recorded a substantial surplus of 41.9%, while Austria (+6%), Romania (+11%), Japan (+6.7%), and Czechia (+5.4%) all reported consumption growth.
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Challenged markets
Reduced consumption coincided with higher average prices across the industry, a landscape currently shaped by international conflicts and uncertain tariff policies in the U.S. market.
Softening demand in several key regions has fundamentally influenced trade flows and values. Global wine exports declined by 4.7% to 94.8 million hectoliters, continuing a downward trajectory established in 2022. Total export value reached €33.8 billion, a 6.7% decrease compared to 2024 and a figure that sits beneath the five-year average.
Broad declines across all categories
Despite rising production costs and increasing wages, the average export price fell by 2.1% to €3.56 per liter. Even with this dip, the current average remains 24% above pre-pandemic levels, maintaining a historically high threshold. Bottled wines, defined as containers under two liters, represent 51.1% of global traded volumes and 66.4% of total value. The average price for a bottle was observed at €4.53—a 3.3% decline from 2024 and the first such drop since 2020. Sparkling wine also suffered, with volumes decreasing by 2.7% and value falling by 6.1%, while the average export price dropped to €7.54 per liter.
Bag-in-box products, which the OIV defines as containers between two and ten liters, account for 3.6% of total volume and 2% of total export value. Despite their general popularity, the category experienced a 5.0% drop in volume and a 4.8% decline in value, though the export price remained relatively stable at €1.89 per liter. The bulk wine category, which the OIV defines as containers larger than ten liters, remains the second-largest segment by volume at 34% of total exports. The category recorded a 5.3% decline in value, with the average export price settling at €0.75 per liter, a 1.5% decrease.
Exports face headwinds
Among major exporters, performance proved weaker in 2025, characterized by significant uncertainty across several regions. Both the European Union and Southern Hemisphere exporters noted a contraction in trade, though Portugal and New Zealand stood out as notable exceptions to the downward trend.
In 2025, Italy exported 21.0 million hectoliters, a 2.0% decrease, with a total value of €7.8 billion (-3.4%). Its primary competitor, Spain, saw volumes decline to 19.6 million hectoliters (-2.2%) as export value fell to approximately €3 billion (-3.9%). France, the world’s leading exporter by value and the home of Champagne, recorded the third-largest volume at 12.5 million hectoliters (-2.3%), while its total export value fell to €11.2 billion (-3.7%). Despite tariffs and an ongoing trade war, the United States remained the most important export market for these European producers.
Chile remained the world’s fourth-largest wine exporter, despite a sharp decline of 9% to 7.1 million hectoliters, with value falling to €1.4 billion (-8%). In contrast, Portugal gained 1.1% in volume, reaching 3.4 million hectoliters and surpassing €1 billion in value. All categories in the Portuguese market recorded growth, with bulk wine showing the strongest performance. Similarly, New Zealand’s exports increased by 17.7% to 3.1 million hectoliters, though at a lower total value of €1.1 billion. Bulk wine accounted for 54% of New Zealand’s total export volume.
Germany recorded a decline in wine exports for the third consecutive year in 2025, with volumes falling by 7% to 3.0 million hectoliters and export value declining to €1.0 billion. Bulk wine was the only category to grow, rising by 21%, though it represents only 4% of the nation's total exports. Bottled wines lost 12.8% in volume and 10.1% in value. U.S. wine exports also declined, falling to 2.0 million hectoliters (-17.9%) in volume and reaching €0.8 billion (-35.9%) in value. Overall performance was hampered by trade uncertainty and tariff-related tensions, which weighed on market access and reduced trade flows. Canada, the leading export market for the U.S. in 2024, recorded the sharpest decline as a result, falling 66.9% in volume and reaching €0.3 billion (-76.9%) in value.
Lower imports in key-markets
The majority of the world’s key markets recorded weaker consumer demand and lower imports in 2025, yet signs of resilience emerged in specific categories and territories. The United States imported 2% less at 12.0 million hectoliters and spent 11.6% less at €5.5 billion. Despite these drops, the nation remains the world’s largest wine importer by value.
Germany imported 12.9 million hectoliters of wine in 2025, a slight decrease of 0.6%, with an added value of 4% reaching €2.6 billion. Bag-in-box wines recorded the strongest gains, followed by bottled wine. The German market, which hosts the world’s largest sparkling wine sector, registered a downward trend of 0.2% in volume but saw a 1.7% increase in value for its favored fizz.
France imported 5.3 million hectoliters (-1.7%), with import value declining to €884 million (-1.2%). Bulk wine dropped by 6.7% in volume and 8% in value. Spain remains France’s leading supplier by volume, accounting for 65% of total imports. On a positive note, Portugal recorded an increase in wine imports in 2025, with volumes reaching 2.1 million hectoliters—up 8.4%—and an increased value of 7.4% reaching €161 million. Such growth was primarily driven by the bulk wine segment.
