Sector Trend Analysis – Beer, wine and spirit trends in Japan

Market and consumer overview

Between 2019 and 2024, Japan's' overall per-capita spending on alcoholic drinks increased from US $289.5 to US $330.3, reflecting a modest annual expansion of 2.7%. Spirits and beer led growth with spending in spirits increasing 4.8% annually from US $90.6 to US $114.4 and beer from US 134.1 to US$150.1 (2.3% annually), while wine maintained stable growth, increasing from US $64.8 to US $65.8 (0.3% annually). These shifts coincide with an increase in health consciousness: 20% of consumers report dieting to lose weight, 25% actively seek healthier ingredients in food and beverages, and 19% closely read nutrition labels–with 58% of that label-reading group willing to pay a premium for healthier formulations. In addition to health and nutritional properties, taste is equally if not more important as 27% of consumers reported they are willing to pay more for superior taste products (Euromonitor International, 2025). Meanwhile, 25% of Japanese' consumers (versus 30% globally) aim to reduce their alcohol intake, with 40% of whom are aged 60 or over (Euromonitor International, 2025), suggesting that health-driven moderation has played a role in regulating per-capita alcohol outlays. Over the same period, inflation accelerated from 0.5% to 2.7%, a 42,3% increase in the rate, as per capita disposable income increased by 1.5% annually, from US$17,451.3 to US$18,780.6. The country's population declined from 126.6 million to 123.8 million, limiting consumer-base growth.

Forecasts for 2024-2029 indicate continued growth in alcohol expenditure, albeit at lower rates, with per-capita spending increasing to US$373.9 by 2029 (+2.5% annually). Growth momentum in both spirits and beer are projected to persist, (3.2% annually to US$134.2 and 2.2% annually to US$167.5) respectively. Per-capita spending on wine is expected to increase by 1.8% annually to US$72.0 by 2029. Inflation is forecast to average 2.0% annually, while disposable incomes will grow at a stronger rate of 3.2% annually, reaching US$21,959.2 by 2029. However, Japan faces ongoing demographic challenges with the total population projected to decline by 0.6% annually to 120.2 million. As a result, future growth in alcohol demand and expenditure is expected to depend less on population expansion and increasingly on shifts in consumer preferences, particularly among younger cohorts, toward health-oriented, premium offerings and low and no alcohol alternatives.

Japan's off-trade and on-trade alcohol volume sales market

The alcohol market in Japan is navigating a complex landscape of declining consumption attributed to a decreasing population and evolving shift amidst younger consumers for non-alcoholic options, reflecting heightened health consciousness. Further, regulatory changes in the liquor tax regime have affected pricing and consumer behaviour, leading to a focus on premium products and non-alcoholic alternatives. Looking ahead, alcohol volume sales in Japan are expected to continue to decline, driven by an ageing population and shifting preferences among younger generations towards limited and non-alcohol consumption; at the same time, premiumization will continue as luxury brands target a more discerning consumer base, alongside increased product innovation in non-alcoholic beverages.

Japan's total (off-trade and on-trade) volumes sales of alcohol were equivalent to 8,036.0 million litres in 2024, declining slightly by 1.4% annually from volume sales of 8,619.2 million litres recorded in 2019. In 2024, the majority of Japan's alcohol sales were generated in the off-trade (retail) channel, which recorded volume sales of 6,775.5 million litres, accounting for 84.3% of the total market, declining 0.5% from 6,953.9 million litres in 2019. The off-trade channel is expected to remain the dominant contributor to volumes sales throughout the forecast period. Food service volume sales in comparison attained 1,260.5 million litres, contracting 5.4% from 1,665.3 million litres in 2019, remaining below pre-pandemic levels, constrained by subdued social-event demand and labour shortages in on-trade locations.

Beer was the largest category recording total volume sales of 4,684.2 million litres (58.3% market share), followed by RTDs with 1,847.5 million litres (23.0% market share), spirits with 853.9 million litres (10.6% market share), wine with 648.0 million litres (8.1% market share) and cider/perry with 2.5 million litres (0.0% market share) in 2024.

Most categories of Japan's alcohol market experienced declining volume sales in the historic period due to the country's declining and ageing population and shifting consumer preferences for non-alcoholic options, with the exception of RTDs which experienced total volume growth of 5.3%, and cider/perry which increased 0.7% annually in total volume growth

In the forecast period, all categories of alcohol volume sales are expected to primarily continue to decline at lower rates, with the exception of RTDs which will post measured positive growth.

Japan's beer market

Japan recorded total beer volume sales of 4,684,2 million litres in 2024, with a majority of the volume sales (83.7%) occurring in the off-trade channel (3,919.5 million litres), with the exception of the stout category which attained volume sales of 3.7 million litres (88% market share) recorded in the on-trade channel. Japan's total beer volume sales declined by an average of 3.1% annually from 5,472.3 million litres in 2019. This contraction was driven mainly by declining volumes of economy lager (new genre beer), which had been Japan's largest beer category by total volume in 2019. Demand for economy lager was negatively affected by changes to Japan's liquor tax regime, which increased taxes on 350 millilitre cans from JPY28.00 to JPY37.80 in October 2020, followed by a further increase to JPY37.80 to JPY46.99 in October 2023. These tax hikes encouraged some consumers to shift toward lower-taxed premium and mid-priced lagers. As a result, economy lager became Japan's second largest beer category, with volume sales of 1,961.0 million litres in 2019, representing an average annual decline of 6.5% from 2019 levels.

Mid-priced domestic lager was Japan's largest volume category with 2,009.1 million liters in 2024, increasing 0.2% in volume sales from US$1,992.8 in 2019, due primarily to the second reformation of the liquor tax regime in October 2023 which witnessed taxes for the lager to decline further to JPY63.35 from JPY70.00, most evident in the off-trade channel which experienced volume growth of 3.5% in the historic period.

Non-alcoholic beer in contrast, was the only category that witnessed increases in total volume growth of 3.6% annually, as increasing numbers of consumers refrain from alcohol consumption for health reasons. In addition, the Ministry of Health, Labour and Welfare in Japan established its first "Guidelines for Drinking Alcohol with Health Consideration" in February 2024 which emphasised the importance of focusing on the amount of pure alcohol per drink, rather than the volume of alcoholic drinks consumed, which led many retailers to increase non-alcoholic drink products, including non-alcoholic beer (Euromonitor International; Beer in Japan, June 2025).

In the forecast period, total volume sales of beer are anticipated to decline while most categories post measured growth due to a declining population and shifting consumer preferences by some younger cohorts, away from alcohol consumption. In response, beer manufacturers are expected to increase direct engagement opportunities with consumers to promote beer, and growth in sales by providing interactive experiences related to beer (sampling beer in a brewery while learning its brewing history and viewing the production process) in an experiential facility. Non-alcoholic beer in contrast, is anticipated to increase as consumer health consciousness grows. Relatedly, as product taste remains important, manufacturers such as Asahi Breweries Ltd have launched Asahi Zero, a non-alcohol product that preserves a rich, beer-like taste with 0.0% alcohol (Euromonitor International: Beer in Japan, June 2025).

Japan's off-trade beer volume sales are distributed primarily through grocery retailers with 3,528.9 million litres (90% market share), with supermarkets and convenience stores recording volume sales of 1,893.6 million litres (53.7% market share) and 921.7 million litres (26.1% market share) respectively, in 2024. While overall off-trade beer volume sales declined 2.5% annually, retail e-commerce expanded, attaining beer volume sales of 133.2 million litres (3.4% market share) in 2024, representing an annual increase of 4.7% in volume sales growth from 106.1 million litres in 2019. Of the off-trade (retail) outlets distribution channels, the health and beauty specialists outlet was the most dynamic, experiencing volume growth of 3.6%, as affordable product prices, geographic advantage, and the convenience of one-stop shopping for all necessities have been well-received by consumers, correlating with a declining volume growth of 7.6% observed in the food/drink/tobacco specialists channel between 2019 to 2024.

On-trade (foodservice) channel in comparison remains measured with volume sales of 764.7 million litres (16.3% market share) in 2024 (−5.8% annually from 1,032.9 million litres recorded in 2019), as reduced post-pandemic socialization, alongside fewer foodservice employees and reduced operating hours, have constrained on-trade volume sales recovery (Euromonitor International; Beer in Japan, June 2025).

Japan's beer market remains consolidated by three primary manufacturers, Asahi Group Holdings Ltd, Kirin Holdings Co Ltd and Suntory Holdings Ltd. Asahi Group Holdings Ltd remained the dominant beer company in Japan with volume sales of 1,559.1 million litres (33.3% market share), despite declining 3,4% annually from volume sales of 1,850.2 million litres in 2019. The company retained a presence in most categories across all price segments, with brands including Asahi Super Dry, Clear Asahi, Style Free, and Asahi Dry Zero, amongst others.

Kirin Holdings Co Ltd and Suntory Holdings Ltd were the second and third largest companies with volume shares equivalent to 28.3% and 17.9%, respectively in 2024, while Anheuser-Busch InBev NV was the only company to register volume growth over the historic period, expanding volume sales by 4.4%. Private label companies in comparison, also experienced increases in volume sales, expanding 4.5% annually from 132.7 million litres in 2019 to 165.0 million liters (3.5% market share) in 2024 (Euromonitor International; Beer in Japan, June 2025).

Japan's ready-to-drink market

Japan recorded total (RTD) volume sales of 1,847.5 million litres in 2024, with almost all of the volume sales (98.5%) occurring in the off-trade channel (1,819.3 million litres). Total volume sales of RTDs increased by 5.3% annually from 1,429.2 million litres in 2019, supported by the launch of sugar-free products in response to growing consumer health awareness. Category expansion was further reinforced by the second phase of Japan's liquour tax reform in October 2023, which raised taxes on new genre (economy lager) beer and encouraged some consumers to switch to RTDs (Euromonitor International; Alcoholic drinks in Japan, June 2025).

Spirit-based RTDs remained the largest volume sales category with 1,759.3 million liters (95% market share) in 2024, increasing 4.4% annually from 1,419.7 million litres in 2019, followed by non-alcoholic RTDs, despite being a relatively new and niche category, achieved off-trade volume sales of 79.3 million litres, supported by growing health awareness and the launch of the Guidelines for Drinking Alcohol with Health Consideration initiative (Euromonitor International; RTDs in Japan, June 2025).

Total volume sales of RTDs are expected to continue to increase marginally over the forecast period, challenging the overall declining trend in Japan's alcoholic beverage market. The continued and stable growth of RTDs is set to be driven primarily by product diversification, which caters to a wide range of ages and consumer preferences, attracting a broad consumer base. Considerations such as a weak yen, rising raw materials costs, and increasing labour costs leading to higher production costs, will make value-added and premiumization important for continued revenue growth (Euromonitor International; RTDs in Japan, June 2025).

Japan's off-trade ready-to-drink volume sales are distributed primarily through grocery retailers with 1,671.3 million litres(91.9% market share), with supermarkets and convenience stores recording the largest volume sales with 1,040.1 million litres (62.2% market share) and 431.1 million litres (25.8% market share) respectively, in 2024. Supermarkets continued to dominate RTD distribution, driven by the convenience of the one-stop grocery shopping format and relatively competitive pricing amid inflation (Euromonitor International; RTDs in Japan, June 2025).

The country's off-trade (retail) ready-to-drink volume sales market experienced growth in most outlet types, with the health and beauty specialists and hypermarkets channels, despite their smaller market shares in 2024, witnessing robust volume growth of 10.6% and 7.6% respectively, during the historic period. Food/drink/tobacco specialists and vending outlets, in contrast, experienced measured declines in volume sales growth of 2.5% and 3.3% respectively, due to increasing competition from the more dynamic supermarkets and health and beauty specialist channels (Euromonitor International; RTDs in Japan, June 2025).

Retail e-commerce in comparison, attained RTD volume sales of 49.6 million litres (2.7% market share) in 2024, and witnessed the greatest performance, increasing 13.4% annually from volume sales of 26.5 million litres recorded in 2019.

The on-trade (foodservice) channel remains measured with volume sales of 28.2 million litres (1.5% market share) in 2024 (−5.1% annually from 36.7 million litres recorded in 2019). On-trade volume sales recovery has been hindered by reduced post-pandemic socialization and shorter opening hours stemming from labour shortages (Euromonitor International; RTDs in Japan, June 2025).

Japan's ready-to-drink market remained heavily consolidated, with the top two companies, Suntory Holdings Ltd and Kirin Holdings Co Ltd collectively accounting for nearly 67% of volume sales. Suntory Holdings Ltd remained the dominant ready-to-drink company in Japan with volume sales of 781.1 million litres (42.3% market share), increasing 6.9% annually from volume sales of 560.5 million litres in 2019. The company's leadership is primarily due to the strong presence of its flagship brands, −196°C Strong Zero and Kodawari Sakabano Lemon Sour which have been instrumental in securing Suntory's prominent positioning.

Kirin Holdings Co Ltd was Japan's second largest ready-to-drink company posting volume sales of 452.5 million litres (24.5% market share) in 2024, while the Coca-Cola Co and Choya Umeshu Co Ltd experienced robust growth, despite their measured shares, increasing volume sales by 25.4% and 25.3% respectively, between 2019 to 2014. Private label companies in comparison, show a measured presence within Japan's overall ready-to-drink market with volume sales of 50.8 million litres (2.8% market share) in 2024, increasing moderately, (8.4% annually) from 33.9 million litres record in 2019.

Japan's spirits market

Japan recorded total spirit volume sales of 853.9 million litres in 2024, representing a decline of 2.1% from volume sales 948.2 million litres in 2019. The off-trade channel remained dominant, accounting for 606.1 million litres (71% market share) in 2024, although volumes declined by 0.9% from 633.9 million litres in 2019. This decline was partly driven by a shift among some consumers towards lower or non-alcoholic alternatives. The contraction was most pronounced in the declining volumes sales of shochu/soju segment in the other spirits category, which accounted for 70% of off-trade spirit volume sales, alongside rising spirit prices, which increased by 9.1% in 2023 and an additional 5.3% in 2024 (Mintel; Market Dynamics - Japan: Spirits 2025). On-trade volume sales in comparison, also declined over the period, contracting 4.6% from a smaller base of 314.3 million litres in 2019 to 247.9 million litres in 2024, reflecting continued pressure on foodservice consumption.

Other spirits remained the largest spirits category, with total volume sales of 601.7 million liters, representing a 71% market share in 2024, despite declining 3.6% annually from 721.4 million litres in 2019. Off-trade sales continued to dominate the category, contributing 427.3 million liters (71% market share) in 2024. Shochu/soju, despite its declining trend, remained the predominant other spirit segment with volume sales of 601.6 million litres (99.9% market share) in 2024, supported by sustained popularity amidst older consumers within an overall declining drinking population. Looking ahead, total and channel specific volume sales within other spirits are expected to continue moderating, with lower rates of decline projected during the forecast period. The declining trend in shochu/soju consumption is expected to persist, as its core consumer group continues to age and contract. This trend is further reinforced by increasing consumer health consciousness and the higher alcohol content of shochu/soju relative to beer and RTDs, which may limit its appeal among younger and more health-oriented consumers.

Whisky was the second largest spirits category in Japan, recording total volume sales of 189.3 million litres (22% market share) in 2024, and was one of the few spirit categories that experienced positive growth, increasing 3.2% annually from 161.7 million litres in 2019. The off-trade channel accounted for the majority of whisky volume sales, reaching 144.8 million litres (77% market share) in 2024, up 7.4% from 101.5 million litres in 2019, while on-trade channel volumes in comparison, declined over the same period. Japanese whisky was the largest total volume sales segment with 147.7 million litres (76% market share), increasing 3.5% annually from 124.4 million litres in 2019. Canadian and Irish whiskies, despite measured volume sales bases, recorded strong off-trade volume growth (20.5% and 59.1%) respectively between 2019 to 2024. Irish whisky in particular, benefitted from its positioning as an alternative to Japanese and Scotch whiskies, both of which faced supply constraints over the period (Euromonitor International; Spirits in Japan, June 2025).

Vodka remains a niche category in Japan, holding a smaller market share than whisky. Off-trade volume sales have increased 2.4% annually from 0.6 million litres in 2019 to 0.7 million litres in 2024, driven by rising demand for vodka as a popular cocktail base (Mintel; Market Dynamics - Japan: Spirits 2025).

Gin and tequila, despite their small market share representation, also experienced notable total volume growth of 14.1% and 9.5% respectively, during the historic period, with off-trade sales driving performance. Volume growth for both gin and tequila are expected to continue in the forecast period, albeit at measured rates (Mintel; Market Dynamics - Japan: Spirits 2025).

Total spirits volume sales in Japan are expected to continue declining over the forecast period, driven by a decreasing drinking population and the waning popularity of shochu/soju, which previously underpinned overall spirits volumes. The reduced appeal of these categories among younger consumers will continue to weigh on total alcoholic beverage volume sales. In parallel, rising health consciousness is likely to accelerate the shift towards lower and non-alcoholic alternatives, further constraining spirits consumption.

In contrast, Irish whisky, despite its smaller volume base, is anticipated to remain the most dynamic category in total volume terms over the forecast period. Growth will be supported by ongoing product development and its sustained positioning as an alternative to Japanese and Scoth whiskies. At the same time, demand for premium whisky products is expected to persist, as the number of consumers purchasing high-quality whiskies for home consumption has increased post-pandemic.

Moreover, manufacturers' growing recognition of the importance of product innovation, alongside efforts to adapt offerings to better engage younger consumers, is expected to play a key role in revitalizing sales and mitigating volume declines across the spirits category (Euromonitor International; Spirits in Japan, June 2025).

Japan's off-trade spirit volume sales are also distributed primarily through grocery retailers with 535.2 million litres(88% market share), with supermarkets and food/drink/tobacco specialists recording the largest volume sales of 307.7 million litres (58% market share), due to their price competitiveness and convenient one-stop shopping format, and 172.4 million litres (32% market share) respectively, in 2024.

The country's off-trade (retail) spirit volume sales market recorded declining growth across most outlet types with the exception of health and beauty specialists, which despite their relatively small market share in 2024, achieved robust volume growth of 14.9%. This strong performance was supported by affordable pricing, favourable geographic accessibility, and wide product range, resonating well with consumers (Euromonitor International; Spirits in Japan, June 2025). Retail e-commerce also posted positive momentum, with spirits volume sales expanding 5.5% annually from 19.0 million litres in 2019 to 24.8 million litres (4.1% market share) in 2024.

On-trade (foodservice) channel in comparison remains measured with volume sales of 247.9 million litres (29% market share) in 2024 (−4.6% annually from 314.3 million litres recorded in 2019). Inflation, reduced socialization, labour shortages, and reduced operating hours continued to limit on-trade volume sales recovery (Euromonitor International; Beer in Spitits, June 2025).

The competitive landscape in Japan's spirit market remains highly fragmented. Suntory Holdings Ltd remained the dominant spirit company in Japan with volume sales of 122.9 million litres (14.4% market share), despite decreasing 1.8% annually from volume sales of 134.5 million litres in 2019. The company maintains a broad portfolio spanning multiple spirits categories, with a particularly strong performance in whiskies, where it held a market share exceeding 50%. While Suntory's whisky brands have long been valued by consumers for their quality and taste, the company continues to prioritize quality enhancement throughout the entire production process. This includes attention to raw materials, brewing, distillation, maturation, and blending, enabling the creation of high-quality base whiskies. These base whiskies, each with distinct characteristics, are then skillfully blended to produce a diverse range of whisky products.

Asahi Group Holdings Ltd was Japan's second largest spirit company posting volume sales of 84.5 million litres (9.9% market share) in 2024, while Sapporo Holdings Ltd experienced robust growth, expanding volume sales by 8.7% between 2019 to 2014. Private label companies in comparison, show a measured presence within Japan's overall spirit market with volume sales of 5.5 million litres (0.6% market share) in 2024.

Japan's wine market

Japan's wine volume sales reached 648.0 million litres in 2024, with 66% of sales generated through the off-trade channel (428.9 million litres). Fortified wine and vermouth, and sparkling wine were exceptions, as they remained primarily on-trade driven. Total wine volumes have declined by 3.3% annually since 2019, falling from 767.2 million litres, largely due to price increases stemming from rising input costs and tax reforms, which have pushed some consumers toward RTDs and beer (Euromonitor International; Wine in Japan, June 2025). Moreover, wine is less frequently consumed with meals in Japan, where beer, sake, and shochu, are the preferred dining beverages, leading to higher consumption (Mintel; Market Dynamics - Japan: Wine and Sparkling Wine 2025).

Non-grape wine remained the largest wine category with total volume sales of 376.5 million litres (58% market share) in 2024, declining 3.7% annually from volume sales of 455.4 million litres in 2019. Sake was the largest segment, attaining 363.5 million liters, accounting for 56% market share of total wine volume sales in 2024. Despite its dominance, the category continues to experience volume sales decline due to demographic shifts, weak engagement among younger consumers, and the category's relatively high alcohol content. In response, some producers are increasingly prioritizing premiumization, with the emergence of luxury brands such as Sake Hundred, positioned at price points ranging from tens of thousands to hundreds of thousands of yen per 720 millilitres.

Still light grape wine was Japan's second largest wine category with total volume sales of 222.3 million litres in 2024, representing a 3.5% decline from 265.1 million litres in 2019. Still red and still white wines remained the leading segments within the category, recording volume sales of 127.2 million litres and 87.2 million litres respectively, despite declines of 3.5% and 4.1% from 156.6 million litres and 98.7 million litres in 2019. Red wine faced particular challenges due to the country's high reliance on imports, with inflation and a weaker yen increasing prices and dampening consumption. Overall, the segment's contraction reflects a diminishing drinking population, reduced alcohol consumption among younger consumers, and growing competition from low and no alcohol alternatives. Still light grape wine volume sales are forecast to further contract by 1.1%, reaching 210.4 million litres by 2029.

The sparkling wine category declined 1.9% annually in total volume sales from 45.9 million litres in 2019 to 41.8 million litres in 2024. However, amid rising product prices and overall declining alcohol consumption, there is a growing shift in consumption habits among younger male consumers. This cohort increasingly views sparkling wine as a casual alcoholic beverage, extending consumption beyond traditional celebratory occasions. As a result, new usage occasions are emerging, including the use of sparkling wine in simple cocktails, supporting incremental demand despite the category's broader decline (Mintel; Market Dynamics - Japan: Wine and Sparkling Wine 2025).

Non-alcoholic wine was the smallest wine category in Japan, recording total volume sales of 6.8 million litres in 2024. Despite its limited scale, the category expanded rapidly, growing at an annual rate of 76.5% from 0.7 million litres following its market emergence in 2020. Growth is expected to moderate over the forecast period, as the category moves beyond its initial expansion phase. Higher prices, limited differentiation, and taste perceptions are likely to constrain broader mainstream adoption.

In the forecast period, total volume sales of wine are expected to continue decreasing, driven by a declining drinking population and shifting consumer preferences among some younger cohorts away from alcohol consumption. In the interim, opportunities exist in promoting Japanese wines, diversifying packages, and targeting inbound tourists (Mintel; Market Dynamics - Japan: Wine and Sparkling Wine 2025).

Product development initiatives and efforts to expand the consumer base for sake are also expected to support category performance. In addition, ageing care wines, which are believed to help maintain youth and beauty, are gaining greater visibility. Joint research conducted with Doshisha Women's University found that consuming wine that meets certain conditions may help slow the ageing process and reduce the progression of some diseases. These findings have attracted increased attention from female consumers and are expected to drive stronger demand during the forecast period (Euromonitor International; Wine in Japan, June 2025).

Japan's off-trade wine volume sales were primarily distributed through grocery retailers, which accounted for 394.9 million litres,representing a dominant 92% market share in 2024. Within this channel, supermarkets generated the largest volume sales (214.9 million litres, 54% market share), followed by food/drink/tobacco specialists with 115.4 million litres (29% market share).

During the historic period, Japan's off-trade wine market experienced volume declines across most retail outlet types. Small local grocers recorded the sharpest contraction, with annual volume sales falling by 7.4%. In contrast, health and beauty specialists, despite holding a relatively small market share in 2024, demonstrated robust performance, achieving annual volume growth of 9.1%.

Retail e-commerce accounted for 19.0 million litres of wine volume sales in 2024, equivalent to a 4.4% market share. This represents a modest annual decline of 1.7% from 20.7 million litres recorded in 2019, indicating slower adoption of online wine purchasing relative to other alcohol categories and channels.

The on-trade (foodservice) channel remains measured with volume sales of 219.1 million litres (34% market share) in 2024, reflecting an annual decline of 4.8% from 280.8 million litres recorded in 2019. Similar to other alcoholic beverage categories, recovery in on-trade wine volume sales has been constrained by reduced post-pandemic socialization and shorter opening hours, largely driven by ongoing labour shortages (Euromonitor International; Wine in Japan, June 2025).

The competitive landscape in Japan's wine market remains highly fragmented. Suntory Holdings Ltd remained the dominant wine company in Japan with volume sales of 59.9 million litres (9,2% market share), increasing measurably, 0.1% annually from volume sales of 59.7 million litres in 2019.

Takara Holdings Inc was Japan's second largest wine company posting volume sales of 38.7 million litres (6.0% market share) in 2024, while Koyama Honke Syuzou Co Ltd, in contrast to the generally declining market, posted measured positive volume growth over the period, expanding volume sales by 0.5% between 2019 to 2014.

Japan cider/perry market

Cider/perry occupies a distinctive space between wine and RTDs, combining affordability with lower alcohol content to appeal to health-conscious consumers seeking lighter, more refreshing options. Smaller bottle sizes support portion control and suit the rising number of single-person households. Perceived as more natural and authentic than RTDs due to its fruit flavours, ingredients, and premium packaging, cider is especially attractive to younger adults. However, non-alcoholic cider/perry remains a niche segment with no notable sales in Japan (Euromonitor International; Cider/Perry in Japan, June 2025).

Japan recorded total cider/perry volume sales of 2.5 million litres in 2024, representing an increase of 0.7% from volume sales 2.4 million litres in 2019, as an expanding consumer base amongst women and young adults helped maintain volume sales. The off-trade channel remained dominant, accounting for 1.9 million litres (76% market share) in 2024, as volumes increased 1.8% annually from 1.7 million litres in 2019. On-trade volume sales of cider/perry declined 2.4% from 646,302.1 litres in 2019 to 573,210.9 litres litres in 2024.

Total cider/perrys volume sales in Japan are expected to continue to slowly decline over the forecast period due to low consumer awareness of the product. Increased consumer education regarding cider and its unique qualities, especially for those produced domestically, will be key in expanding sales and new avenues for growth. Moreover, the category is well positioned to benefit from consumer demand for lower alcohol beverages and fruity flavour profiles, as seen in the popularity of RTD lemon sours.

Further, cider's natural apple sweetness also aligns with growing interest in natural products, especially among women, and younger consumers of legal drinking age, who are the main consumers of cider/perry (Euromonitor International; Cider/Perry in Japan, June 2025). Relatedly, the growing demand for locally produced, natural products is creating opportunities for craft cider/perry in Japan. Wineries and breweries are increasingly using locally grown apples, aligning with broader craft, sustainability, and authenticity trends. As consumers become more conscious of product origins and production methods, the appeal of artisanal, domestically produced cider/perry is expected to grow over the forecast period (Euromonitor International; Cider/Perry in Japan, June 2025).

Japan's off-trade cider/perry market experienced volume expansion across most retail outlet types during the historic period. The country's off-trade cider/perry volume sales were primarily distributed through grocery retailers, which accounted for 1.8 million litres,representing a dominant 94% market share in 2024.

Food/drink/tobacco specialists were the leading off-trade distribution channel, generating volume sales of 1.1 million litres, accounting for a 56% market share, followed by supermarkets with 0.6 million litres (30% market share), demonstrating robust annual growth of 12.8% during the historic period, as inflationary pressure, and increasing domestic and inbound travelers supported growth in this channel.

Retail e-commerce in comparison, accounted for 66,811.9 litres of cider/perry volume sales in 2024, equivalent to a 4.0% market share, representing an annual increase of 6.9% from 47,897.2 litres recorded in 2019, indicating growing adoption of the channel for cider/perry purchases

The on-trade (foodservice) channel remains measured with volume sales of 0.6 million litres (24% market share) in 2024. Similar to other alcoholic beverage categories, recovery in on-trade cider/perry volume sales has been constrained by reduced post-pandemic socialization and shorter opening hours, largely driven by ongoing labour shortages (Euromonitor International; Cider/Perry in Japan, June 2025).

The competitive landscape in Japan's cider/perry market remains highly consolidated. Asahi Group Holdings Ltd remained the dominant cider/perry company in Japan with volume sales of 1.5 million litres (62% market share), increasing moderately, 6.6% annually from volume sales of 1.1 million litres in 2019. The company produces the Nikka Cidre brand, using domestic apples to provide three product varieties, sweet, dry, and rosé, alongside a range of sizes, catering primarily to female consumers aged 30 to 50.

Kirin Holdings Co Ltd was Japan's second largest cider/perry company posting volume sales of 0.6 million litres (24% market share) in 2024, despite declining 5.0% annually from 0.8 million litres in 2019.

Japan's trade (import) overview

Japan is a net importer of alcohol products. In 2025, Japan imported US$3.1 billion of alcohol products from global markets (+1.3% in annual growth from US$2.9 billion in 2020) and exported US$1.0 billion (+8.5% annually from exports of US$667.8 million in 2020), recording a trade deficit of US$2.1 billion.

According to Japan's trade (import) data, the country's top alcohol imports in 2025 included still wine with values of US$920.9 million (30% market share), followed by sparkling wine with US$707.0 million (23% market share), undenatured ethanol with US$511.2 million (16% market share), whiskies with values of US$469.9 million (15% market share), and ethanol and other spirits with values of US$151.1 million (5% market share).

Of the country's top alcohol imports in 2025, ethanol and other spirits experienced the greatest historic value performance, increasing 11.1% annually from imports of US$89.4 million in 2020, while grape must and vermouth and flavoured wine declined 25.8% and 19.8%, respectively, during the same period.

France, Brazil and the United Kingdom were the top three suppliers of alcohol to Japan in 2025, representing market shares of 34.6%, 13.2% and 11.7% respectively, or a combined market share of 60.0%.

Japan's top imported alcohol products included still wine, supplied primarily by France, Italy and Chile, followed by sparkling wine supplied by predominantly by France , undenatured ethanol (≥ 80%) provided mainly by Brazil, whiskies provided mainly by the united Kingdom. the United States and Canada, and ethanol and other spirits (<80%) provided primarily by Mexico, Korea and China in 2025.

Canada has attained measured (0.7%) overall market share representation in the provision of alcohol products to Japan in 2025, versus the 1.0% market share attained in 2024. Of the top products supplied to Japan, Canada yielded the largest (4.3%) market share in the provision of whiskies, supplying US$20.1 million in 2025, declining 16.4% annually from US$24.0 million In 2024.

Canada's performance

Canada's export market

Canada is a net importer of alcohol products. In 2025, Canada imported US$US$3,173.2 million of alcoholic products from global markets (−2.0% in annual growth from US$3,502.4 million in 2020) and exported US$1,151.7 million (+6.5% in annual growth from US$839.3 million in 2020), recording a trade deficit of US$2,021.5 million.

Canada's alcoholic beverage exports to Japan, led by high-end spirits and whiskies, are growing within the Asian market, with Japan ranking as a key destination for Canadian hard liquor, totaling roughly US$20.0 million in 2025. While Canadian whisky is favoured, Japanese consumers increasingly appreciate premium, craft-focused alcoholic beverages, offering growth potential through specialized retail and e-commerce channels.

According to Canada's trade (export) data, Japan was Canada's third largest export market for alcoholic products with values of US$20.8 million (1.8% market share) in 2025, representing an increase in annual growth of 4.8% during the 2020-2025 period.

Canada's top three alcohol products exported to Japan were whiskies valued US18.2 million (87.4% market share), followed by rum and other spirits valued at US$1.7 million (8.4% market share), and ethanol and other spirits with US$0.5 million (2.5% market share) in 2025.

Product launch analysis

According to Mintel's Global New Products Database (GNPD), there were 2,541 new alcoholic beverages launched in Japan from January 2019 to December 2024. There have been 377 new alcoholic beverage products launched year-to-date, January to December 2025.

The number of yearly new product launches has decreased in growth by a CAGR of 12.2% from a launch of 603 products in 2019, to its most recent launch of 319 products in 2024 (+3.2% from 309 products in 2023), reflecting increased market maturity, rising input costs, and more cautious innovation strategies that prioritize fewer, more targeted launches over volume driven expansion.

Flavoured alcoholic beverages remained the dominant category in terms of launch volumes, followed by beer launches, while ethical-environmentally friendly packaging and recycling and limited edition were popular claims. Most products remained within the $0.56-$7.55 price range accounting for the majority of launches, while high priced new products launches remained limited. Relaunches and range extensions drove most launches, while carbonated and unflavoured and fruit flavoured beverages remained dominant. Suntory Spirits, Asahi Breweries, Kirin Brewery, Sapporo Breweries and Takara Shuzo remain dominant domestic manufacturers, representing a combined 80% share of Japan's alcoholic beverage market. Their strong market presence reflects both consumer preference for local brands and the companies' established roots in Japan's beverage industry.

Examples of new products

For more information

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For information on the upcoming trade show FoodEx Japan, please contact:

Michelle Jardine, Deputy Director
Indo-Pacific Market Development and Promotion
Agriculture and agri-food Canada
michelle.jardine@agr.gc.ca

Resources

• Global Trade Tracker, 2026
• Euromonitor International, June 2025: Alcoholic drinks in Japan
• Euromonitor International, June 2025: Beer in Japan
• Euromonitor International, June 2025: Cider/Perry in Japan
• Euromonitor International, June 2025: Consumer Lifestyles in Japan
• Euromonitor International, June 2025: RTDs in Japan
• Euromonitor International, June 2025: Spirits in Japan
• Mintel; October 2025; Market Dynamics – Japan: Spirits 2025
• Mintel; November 2025; Market Dynamics – Japan: Wine and Sparkling Wine 2025
• Mintel Global New Products Database, 2026

Sector Trend Analysis – Beer, wine and spirit trends in Japan
Global Analysis Report

Prepared by: Laurie Bernardi, International Research Market Analyst

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