Beijing: US brewer Anheuser-Busch Cos will build a greenfield brewery in China, aiming to double sales of its Budweiser beer there over the next five years, state media reported on 4 April.
The largest US brewer plans to make Budweiser available to an additional 150 million potential beer drinkers by bringing it to 100 new cities with a population of at least one million people each, the Xinhua news agency said.
The company will also introduce the domestic beer Harbin to 33 new markets in 2007, it added.
The brewery, located in south China’s Guangdong province, is scheduled for completion in late 2008 at a cost of $63 million, the report said.
It will have a production capacity of 2.6 million hectoliters with a potential for expansion, according to a statement released by Anheuser-Busch.
In 2006, China’s beer market grew nearly 15%, the third consecutive year of double-digit volume growth, according to Anheuser-Busch.
As the largest-volume and fastest-growing beer market in the world, China remains one of our most important international priorities, Anheuser-Busch Chief Executive August Busch IV said in the statement.
Anheuser-Busch owns Chinese brewers Harbin Brewery Group and Wuhan Brewing Co as well as a stake in China’s largest beer maker Tsingtao Brewery Co Ltd.
The St Louis-based company has so far invested more than $1.8 billion in China, Xinhua’s report said.