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Kweichow Moutai Liquor Co., LTD. 2024 annual production and operation announcement shows that after preliminary accounting, the annual output of Moutai liquor base wine in 2024 is about 56,300 tons, a year-on-year reduction of about 900 tons, which is the first production contraction of Moutai liquor in recent years.

According to the production capacity data of Moutai in previous years, the historical production capacity of Moutai has been rising continuously, from the 1,000 tons mark in 1978 to the 5,000 tons mark in 1998, and the increase has been rapid. In 2004, Moutai base wine production capacity officially exceeded the 10,000 tons mark, in 2008 exceeded the 20,000 tons mark, in 2011 exceeded the 30,000 tons mark, in 2017 the industrial expansion exceeded the 40,000 tons mark, in 2020 exceeded the 50,000 tons mark, and 2024 Moutai base wine production almost returned to the level of 2020. Obviously, it can be seen that Maotai wine production is in line with market development and consumer demand scientific control.

In terms of the market, Moutai will adjust the amount of market investment in 2025, and plan to reduce the amount of 500ml ordinary Feitian Moutai and rare Moutai, and moderately increase the amount of 1L Feitian 100ml Feitian. Its series of adjustment measures are in order to stabilize market prices and the scarcity of famous wines.

Scarcity is one of the core values of high-end wine. When there is an oversupply of high-end wines on the market, their mystery and uniqueness are greatly diminished. Production cuts and stops make the number of products in circulation on the market decrease, things are rare and expensive, and consumers are enthusiastic about their pursuit. Moutai's first production cut in five years is also in line with the status quo of market development, reasonable control of production, so that the market is in a long-term "short supply" state, maintain high prices and high demand for products, and strengthen its high-end image in the minds of consumers.

From a brand perspective, scarcity helps to enhance brand reputation. A limited supply of high-end wine is a treasure in the eyes of consumers. When buying a famous wine requires waiting or grabbing, this rare experience will leave consumers with a deep impression on the brand. Each limited release can trigger market attention and topic discussion, enhance brand exposure, and strengthen brand status in the intangible.

In the long run, production cuts and stoppage can lead to healthy development of the industry. Now is the era of stock competition, liquor overcapacity, price inversion is serious, from the May 1 holiday, 618 shopping festival to Double 11, the price war of liquor intensified, at this time, the wine actively cut production and stop goods, can effectively avoid the escalation of price war caused by overproduction, stable market order. High-end wine companies through the control of production, adhere to the quality, each bottle of wine to maintain a high level, to promote the entire industry towards the direction of quality and brand building.

Therefore, wine production reduction and suspension is an effective strategy to protect the scarcity of high-end wine, which lays a solid foundation for the value enhancement and long-term development of high-end wine.