The Champagne industry is experiencing a difficult year in 2025, with shipments declining steadily through the first eight months.
According to industry data, overall shipments fell 1.8% year-over-year to 145 million bottles by the end of August. If this trajectory continues, the total annual volume is projected to slip below 220 million bottles, raising concerns for producers as the last four months of the year traditionally account for the highest sales volumes.
August Drop Highlights Market Pressures
The month of August proved particularly challenging, with shipments down 6.7% compared to August 2024, amounting to just 15.3 million bottles. The French domestic market recorded the sharpest decline, falling 8.4% to 6.1 million bottles. International sales, though slightly more resilient, still dropped 5.5%, with 9.1 million bottles shipped abroad.
Within exports, non-EU destinations suffered most, falling 7.4% in August, while shipments to EU countries posted a modest 0.7% growth. On a year-to-date basis, French sales have slumped 4.8% to 56.7 million bottles, whereas exports remained almost flat at 88.4 million bottles, a slight 0.2% increase. European markets fell 2.1%, while other international destinations managed a 1.2% rise, reaching 63.7 million bottles.
Mixed Signals in Key Export Markets
The United Kingdom, one of Champagne’s largest export markets, showed volume growth of 3.9% in the first eight months of 2025. However, the value of exports to the UK dropped 7.6%, reflecting intense competition among retailers and frequent promotional campaigns.
This divergence between volume and value is mirrored across Champagne’s 15 leading international markets, where volumes rose 6.5%, but value growth slowed to just 0.7%. After a strong first half of the year, July and August marked a downturn in both volume and value, raising concerns that this negative trend could extend into the crucial holiday season.
Champagne Producers Under Pressure
Among the sector’s main players, the large Champagne houses continue to dominate, representing nearly 75% of shipments (108.3 million bottles), with only a marginal 0.4% decline. By contrast, cooperatives were down 6.7% to 11.9 million bottles, and independent growers saw sales fall 5.1% to 24.8 million bottles. Both categories rely more heavily on domestic demand, leaving them more exposed to the downturn in France.
Outlook for the Sector
With shipments already under pressure and the French market struggling, Champagne producers face a critical final quarter. The combination of falling domestic demand, mixed performance in exports, and downward pressure on value could weigh heavily on the region’s results for 2025. Unless demand picks up significantly during the end-of-year festive period, the Champagne industry may close the year below 220 million bottles shipped — a level that would pose challenges for many of its stakeholders.
Source: Vinetur