Moutai Chairman Attributes Youth’s Disinterest in Baijiu to Rejection of Traditional Drinking Culture

Do Young Consumers Really Hate Baijiu? Moutai Chairman Weighs In on China’s Liquor Culture Debate

As Kweichow Moutai convened its 2024 annual shareholders’ meeting this week, Chairman Zhang Deqin addressed a simmering industry controversy: Why are younger Chinese increasingly shunning the iconic baijiu spirit?

In a revealing anecdote, Zhang recounted conversations with millennials who expressed aversion not to the liquor itself, but to the hierarchical drinking rituals embedded in traditional business etiquette. “They reject the performative toasting and mandatory flattery that often accompany baijiu consumption,” he observed during pre-meeting discussions.

Moutai leadership emphasizes generational shifts in alcohol consumption patterns.

The Maturity Factor

Zhang emphasized that Moutai’s core demographic remains established professionals with significant purchasing power and social influence, regardless of age. “As younger individuals assume leadership roles and family responsibilities, their perspective on baijiu as a social lubricant naturally evolves,” he argued, positioning the spirit as a rite of passage in China’s business ecosystem.

Decades-Long Debate Reignited

Jiuxian Group Chairman Hao Hongfeng echoed this sentiment, recalling similar skepticism toward earlier generations. “In the 2000s, critics claimed Gen X would abandon baijiu. Now they dominate the market. The same pattern repeats with millennials and Gen Z,” he noted, framing spirit adoption as a hallmark of social integration.

Cultural Crossroads

Behind the debate lies a crucial question: Is baijiu’s future tied to tradition or transformation? While Moutai maintains its premium positioning through limited-edition releases and cultural partnerships, rivals like Jiangxiaobai have captured youth markets via lower-alcohol “light baijiu” variants and digital-native marketing.

Industry analysts suggest the divide reflects broader generational shifts. “Younger consumers aren’t rejecting alcohol – they’re redefining social drinking through craft beers, cocktails, and experiential consumption,” said Zhou Wei, beverages analyst at CCB International. “The question isn’t whether they’ll adopt baijiu, but how the category adapts to adopt them.”