Tea And Coffee Industry Snapshot In China (May 18, 2026)

Here is your daily update on China’s dynamic beverage market for May 18, 2026.

1. Starbucks China Opens First Store in Shengsi, Reaches 8,624 Stores Nationwide

Starbucks China has officially opened its first store in Shengsi, Zhoushan, marking another milestone in its Tier-3 and Tier-4 city expansion. The store features a unique design that integrates local “Fisherman Culture” with modern coffee aesthetics. As of late April, Starbucks’ total store count in China has reached 8,624.

Starbucks Shengsi
Starbucks China’s first store in Shengsi, Zhoushan, featuring local fisherman-themed design.

This expansion strategy emphasizes Starbucks’ commitment to deepening brand presence in coastal and regional markets. By blending global standards with local heritage, the brand continues to strengthen its emotional connection with diverse consumer segments across China.

2. Mixue Bingcheng’s “Peach Seasons Spring” Sales Surge by 140%

Mixue Ice Cream & Tea has reported a significant sales boost following the launch of its “Peach Seasons Spring” (蜜桃四季春) series. Daily sales increased by nearly 140% month-on-month, driven by high social media engagement and its strong value-for-money positioning.

Mixue Peach
Mixue Bingcheng’s new ‘Peach Seasons Spring’ series, a popular fresh fruit tea choice.

Mixue’s ability to drive massive volume with seasonal products highlights its supply chain efficiency and powerful marketing reach. The “Peach Seasons Spring” has become a seasonal staple, reinforcing the brand’s dominance in the mass-market tea segment.

3. Cha Panda Upgrades Menu with “On-site Coffee” and Fresh Milk Labels

Cha Panda (ChaPanda) has officially rolled out new menu labels highlighting “On-site Coffee” (现场咖啡) and 100% fresh milk across its product lines. This move is part of a broader brand upgrade focusing on ingredient transparency and premium raw materials.

Cha Panda Fresh Milk
Cha Panda (ChaPanda) upgrades to 100% fresh milk across its product lines, emphasizing raw material quality.

As competition in the “New-style Tea” market intensifies, brands are increasingly pivoting towards “clean labels” and high-quality bases. Cha Panda’s focus on fresh milk and freshly brewed coffee allows it to compete effectively in the mid-to-high-end segment.

4. Blueglass Launches “Little Blue Jar” Probiotic Yogurt at JD 7Fresh

Premium yogurt brand Blueglass has partnered with JD’s 7Fresh supermarkets to launch its new “Little Blue Jar” (小蓝罐) probiotic yogurt series. The functional beverage targets the “gut health” and “active lifestyle” segments within the high-end retail channel.

Blueglass Little Blue Jar
Blueglass launches its ‘Little Blue Jar’ probiotic yogurt series at JD’s 7Fresh supermarkets.

The collaboration with 7Fresh highlights Blueglass’s strategy to expand its presence in premium grocery channels. By positioning its products as high-functionality health tools, the brand maintains its leadership in the high-AOV (Average Order Value) yogurt market.

5. XSQ Tea Expands Vietnam Footprint with 15 New Store Openings

XSQ Tea (新时沏) continues its aggressive international expansion, announcing the simultaneous opening of 15 new stores in Vietnam. As of April 30, the brand’s overseas footprint has expanded to 201 stores, making it one of the most active Chinese tea exporters.

The expansion in Vietnam underscores the strong regional demand for Chinese tea culture and retail models. XSQ Tea’s success in localized operations provides a blueprint for other domestic brands seeking growth in Southeast Asian markets.

6. LELECHA Signals Return to Guangzhou Market with New Regional Partnerships

LELECHA (乐乐茶) has announced its intention to re-enter the Guangzhou market, actively recruiting regional partners for a new wave of store openings. This marks a strategic comeback for the brand in the southern China market after previously streamlining its operations.

Re-entering Guangzhou allows LELECHA to tap into one of the country’s highest-consumption tea markets. With a refined partnership model, the brand aims to establish a more sustainable and densified retail network in Tier-1 southern hubs.

7. BOYU Capital Eyes Consumer Growth with New 3 Billion USD Fund

BOYU Capital (博裕资本) is reportedly planning to raise a new 3 billion USD fund focused on the consumer and technology sectors. The firm has a history of investing in high-growth beverage and retail brands, signaling continued investor confidence in China’s consumption long-term outlook.

The fund’s focus on “Greater Consumption” suggests that the tea and coffee industry remains a priority for private equity firms. New capital injections could further accelerate consolidation and technological upgrades among leading domestic players.

Stay tuned for more insights into China’s tea and coffee landscape from CupLoom.