Global Wine Market Slows Under Climate Stress

The global wine market is entering another period of slowdown as climate disruption and trade tensions with the United States weigh on production and sales, according to the International Organisation of Vine and Wine, which is based in Dijon. In its annual report released Tuesday, the group said world harvests remained weak for a third straight year after frost, drought and heavy rainfall hit vineyards across several regions. It also said U.S. tariffs continued to slow international trade.

Global wine consumption fell 2.7% in 2025, while vineyard acreage kept shrinking, down nearly 1% over two years. Volumes traded worldwide dropped 4.7%, even as the overall value of wine commerce remained high despite a slight decline. The report points to a market that is still large but under pressure from lower output, softer demand and higher costs.

France held onto its position as the world’s top wine exporter by value, supported by well-known appellations that continue to command strong prices abroad. Burgundy remains one of the region’s most important pillars, with its reputation helping it withstand the broader slowdown better than many other wine areas.

Within Burgundy, Saône-et-Loire has become a key part of that resilience. The department plays a central role in the Mâconnais and the Côte chalonnaise, two areas known for a wide range of wines and for growers who have adapted to changing weather and market conditions. Local producers have also leaned more heavily on wine tourism, which has become an important source of revenue and visibility.

That shift has pushed many wineries and tourism operators to broaden what they offer, including tastings, vineyard visits and other visitor experiences aimed at French and foreign travelers. Some are also responding to changing consumer habits by developing low-alcohol and alcohol-free wines, a segment that is drawing more attention as buyers look for different styles and lighter drinking options.

The OIV said the combination of climate stress, weaker consumption and trade barriers is reshaping the global wine business at a time when producers are already facing tighter margins. In Burgundy, however, strong terroirs, established export channels and a growing tourism economy continue to give the region an advantage as the market adjusts to slower growth.