Diageo has broken ground on its first distillery in China. Located in Eryuan County in Yunnan Province, the ‘Diageo Eryuan Malt Whisky Distillery’ will produce Diageo’s first China-origin, single malt whisky.
Details of the new $75 Million (US) 66,000 square meter distillery were unveiled at at a special ceremony today in Eryuan, attended by provincial and local government officials, industry representatives, and the local community.
Diageo Enters the World’s Largest Whiskey Market
Diageo Eryuan Malt Distillery Visitor Centre Reception with view of Copper Stills; the distillery will access natural spring water that is a source for Erhai Lake. 
Diageo Eryuan Malt Distillery Visitor Centre Whisky Barrels Beacon Tower will feature a collection of cask heads from Diageo distilleries all over the world reflect our rich heritage and experience in whisky making.
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“Today we celebrate another significant step forward, and one which builds upon our local insights and combines those with Diageo’s global whisky expertise in order to delight the next generation of Chinese whisky consumers.”
“China is the world’s largest beverage alcohol market1 and the demand for whisky is growing rapidly among middle-class consumers who are keen to further discover and enjoy fine whiskies”, said Sam Fischer, President, Diageo Asia Pacific and Global Travel.
Selection of the Eryuan County, Yunnan Province Site
Diageo Eryuan Malt Whisky Distillery Visitor Centre Entrance; at more than 2,100m above sea level, Diageo’s first malt whisky distillery in China will be carbon neutral. 
Diageo Eryuan Malt Whisky Distillery – This aerial view shows a site inspired by the harmony of culture, nature and craftsmanship.
Diageo says that at more than 2,100 meters above sea level the site was carefully selected for its temperate climate, rich natural biodiversity, and access to natural spring water that is a source of the second largest highland lake, Erhai Lake, in Yunnan. For comparison purposes Kentucky’s mean elevation is 230 meters or about 750 feet. The nearest U.S. state to this elevation would be Colorado with a mean elevation of 2070 meters or about 6,800 feet.
“The natural surroundings and the Eryuan landscape will allow us to craft a world-class, China-origin, single malt whisky that will capture the imagination of premium whisky lovers in China,” added Fischer.
Diageo’s ‘Society 2030: Spirit of Progress’ sustainability action plan will shape the design and development of the distillery. Renewable and clean technologies will be used in the distillery to ensure it is carbon neutral, recycles all the water it uses, and is a zero-waste site.
The site will feature an immersive and interactive visitor center that will attract whisky enthusiasts and boost the local cultural tourism industry. The sustainable and innovative design of both the distillery and the visitor center will incorporate local cultural elements and embrace the region’s natural landscape.
Construction on the $75 Million Diageo Eryuan Malt Whisky Distillery is expected to begin in early 2022.
Diageo brands include Johnnie Walker, Singleton, Smirnoff, Captain Morgan, Baileys, Don Julio, Tanqueray, and Guinness. Diageo is a global company whose products are sold in more than 180 countries around the world.
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Source: 1 International Wines & Spirits Record (IWSR) database, 2020 Report.
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