| China

Starbucks invests $130m in roasting facility to support growth in China

State-of-the-art roastery will be Starbucks’ largest outside of the US and is designed to support planned expansion across China and Asia

Starbucks' Reserve Roastery in Shanghai. The new $130m roasting and distrubution hub will support planned growth to 6,000 stores in China by 2022

Starbucks has announced it will invest $130m to open a state-of-the-art roasting facility in China. Scheduled for completion 2022, the facility in Kunshan, an hour from Shanghai, will form part of US coffee giant’s Coffee Innovation Park (CIP) development – a vast roasting plant, warehouse and distribution complex representing Starbucks’ largest manufacturing investment outside the US.

Once operational, the facility will provide Starbucks with a local roasting and highly automated distribution hub for its Chinese business, which is aiming to operate 6,000 stores by 2022. The Seattle-based coffee chain currently operates some 4,300 stores across mainland China.

"Starbucks has always taken a long-term view in China, and our commitment to the market has never been stronger," said Belinda Wong, Starbucks China chairman and CEO.

The move highlights Starbucks’ long-term ambitions in China, one of its key growth markets globally and across Asia. The world’s largest coffee chain currently operates six roasting facilities to serve its 30,000+ global store portfolio, including five in the US and one in the Netherlands.

Starbucks also operates six Reserve Roasteries across Seattle, Shanghai, Milan, New York, Tokyo, and Chicago, which serve its super-premium Reserve brand concept.

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