A symbolic view of Ningxia’s wine future, as Treasury Wine Estates strengthens its local foothold.
On March 3, 2025, Treasury Wine Estates (TWE) announced it has finalized its acquisition of a 75% stake in Ningxia Stone & Moon Winery Co. Ltd, a significant step in its ongoing expansion into China’s wine market. First revealed in December 2024 with a target completion in the first half of this year, the deal has wrapped up ahead of schedule, underscoring TWE’s determination to strengthen its presence in the region. For a company behind the globally celebrated Penfolds brand, this move signals more than just geographic growth—it’s a clear play to elevate its luxury wine portfolio on an international stage.
The acquisition brings Stone & Moon, located in QingTongXia within Ningxia, China—a recognized wine-growing area—into TWE’s fold. It’s a strategic addition to Penfolds’ multi-origin lineup, which already spans Australia, the US, and France. Now, with China in the mix, TWE aims to craft luxury wines that resonate with both local consumers and global aficionados. CEO Tim Ford captured the intent back in December, saying, “This aligns with our vision to grow our luxury wine presence in key markets.” Today’s confirmation turns that vision into reality, executed with notable efficiency.
This isn’t TWE’s first foray into China. Years of groundwork—think partnerships with CADA and the launch of One by Penfolds—have paved the way, and Stone & Moon feels like a natural next chapter. It’s a move that dovetails with TWE’s sharpening focus on high-end offerings, a strategy paying off with Penfolds’ robust growth in Asia and the 2023 acquisition of DAOU Vineyards in the US. The intent here seems clear: localize Penfolds’ luxury credentials in China, strategically positioning itself as China-Australia wine trade conditions evolve and demand for premium labels rises. What might follow? Perhaps new China-sourced Penfolds vintages, blending Ningxia’s terroir with the brand’s iconic prestige—a bet on high-margin growth in a dynamic market.
TWE’s move aligns with a broader trend of luxury wine brands localizing production in key markets, a strategy seen in regions like France and the US. Will China be next? For the global wine industry, this raises intriguing possibilities. By securing Stone & Moon, TWE deepens its foothold in China’s evolving wine scene, poised to roll out offerings that could redefine its Asian portfolio. As the company refines its premium playbook, the question lingers: will this deal cement TWE’s leadership in the luxury wine race? For now, the industry watches—and waits—for the first sip of what’s to come.
