This week, Bordeaux solidified its leadership position in the fine wine market, claiming a 40.9% share of traded value, a notable increase from last week’s 37.9%.
Among the most active wines were the First Growths’ second labels, with Carruades de Lafite standing out, trading more than twice the volume of the flagship Château Lafite Rothschild. The 2022 vintage of Carruades saw its first physical trades this week at a 23.7% discount to its ex-London release price, sparking renewed interest in back vintages.
Bordeaux’s Strong Performance
Bordeaux’s lead in the market is bolstered by the high activity surrounding its prestigious labels, particularly the second wines of First Growth estates like Lafite Rothschild. Carruades de Lafite, a second wine from Château Lafite, traded heavily this week, showing significant demand compared to its parent wine, Château Lafite Rothschild. The debut of the 2022 vintage at a discount seems to have incentivized collectors and investors to look back at previous vintages, adding momentum to Bordeaux’s market dominance.
Another notable Bordeaux wine making waves is Le Petit Mouton de Mouton Rothschild 2018, which also ranked among the top-traded wines of the week. Carruades de Lafite 2020, in particular, has seen a decline in trading prices since late 2022, where it reached its peak of £3,040 per 12×75. This week, it traded just above its ex-château price but fell below its ex-negociant price, highlighting a more subdued market performance compared to previous highs.
Burgundy and Champagne Face Declines
While Bordeaux continues to rise, Burgundy's trade share dipped slightly, moving from 19.0% last week to 17.8% this week. Although still holding a strong position, this drop may reflect shifts in buying focus or pricing pressures, especially with more attention turning towards Bordeaux and other regions.
Champagne, which had a particularly weak September, lost its position as the third most-traded region to Tuscany by value. However, the region showed signs of recovery this week, supported by high-volume trades of Dom Pérignon 2015 and Rare 2008. The market for Dom Pérignon 2015, which was released earlier this year at a recommended price of £1,750 per 12×75, has softened, with recent trades at £1,424, marking an 18.6% discount. Despite the lower trading price, Dom Pérignon 2015 emerged as the top-traded wine of the week, both in terms of value and volume.
USA and Spain: Steady and Gaining Ground
The USA’s share of the fine wine market remained stable at 5.9% this week. Screaming Eagle’s Oakville Cabernet Sauvignon, a perennial favorite, continued to dominate the US trade scene, accounting for 21.2% of the country’s traded value. Despite its strong presence, most recent vintages have seen price declines, likely due to the strengthening of the British Pound against the US Dollar, impacting the wine's Mid Prices over September.
Spain, which has been gradually increasing its presence in the market, accounted for 2.8% of traded value this week. The key driver of this growth was Vega Sicilia Unico, Spain’s most prestigious wine, which made up 70.5% of the country’s traded value. Vega Sicilia’s enduring popularity has helped Spain regain footing and remain competitive in the global fine wine market.
Key Trades and Price Drops
Several significant wines traded at historic low prices this week. Château Trotanoy 2018, which had been largely inactive over the past year, saw a resurgence in trade activity at its lowest-ever price of £1,073 per 12×75. Similarly, Château Climens 2005, a highly-rated Sauternes, also experienced multiple trades at a record low price—41.7% below its ex-château release price of €60 per bottle. Despite receiving a 95-point score from Neal Martin and having an extended drinking window until 2040, Château Climens 2005 is being offered at a considerable discount, presenting a compelling opportunity for value-focused buyers.
Tuscany's Ascent
Tuscany overtook Champagne in September, claiming the spot as the third top-traded region by value. This shift reflects the growing popularity of Italian wines in the market, particularly those from prestigious estates such as Sassicaia and Tignanello. Tuscany's rise also signifies a broader trend where high-end Italian wines are becoming more prominent on the global fine wine stage, challenging the dominance of Champagne and Burgundy.
Outlook
As Bordeaux tightens its grip on the market, Burgundy and Champagne face the pressure of declining trade shares, even as they continue to feature prominently in high-value transactions. The USA and Spain, while smaller players, are holding steady with iconic wines like Screaming Eagle and Vega Sicilia Unico leading the charge. Tuscany’s rise, combined with the ongoing strength of Bordeaux, could signal a shift in market dynamics as global wine enthusiasts seek both classic and emerging regions for investment and enjoyment.
For traders and collectors, the current market landscape offers a range of opportunities, from discounted back vintages of Bordeaux second wines to value buys in Sauternes and high-performing Tuscan labels. As always, market conditions remain fluid, and price trends will likely shift as the year progresses.
Source: Liv-ex