The global wine sector continues to grapple with a period of profound transformation, caught between climate change, new international trade tensions, and slowing consumption, but at the same time demonstrates a significant capacity for adaptation. This is the picture emerging from the new report from the International Organisation of Vine and Wine (OIV), dedicated to the state of the global wine sector in 2025.
According to the international organization, the global wine market is simultaneously facing the effects of tariff policies, economic uncertainty, and extreme weather events, with impacts affecting production, consumption, and international trade. Despite this scenario, the sector maintains a strong level of internationalization: nearly one in two bottles is consumed outside its country of origin.
In 2025, global wine production is estimated at 227 million hectoliters, a slight increase of 0,6% compared to the historic low of 2024, but still 9,4% below the average of the last five years. This is the third consecutive year of weak harvests globally, marked by late frosts, prolonged droughts, heatwaves, and excessive rainfall that have affected numerous wine-growing regions in both the Northern and Southern Hemispheres.
Europe continues to account for approximately 60% of global production, but at some of the lowest levels in decades. In this context, Italy remains the world's leading producer with 44,4 million hectoliters, equal to almost 20% of global production. This figure is essentially stable compared to 2024 (+0,7%), although still 4,1% lower than the average of the last five years.
According to the OIV report, Italy was one of the few major producers to maintain volumes close to the recent average thanks to relatively favorable weather conditions, characterized by a mild spring, balanced rainfall, and a summer without excessive heat. However, production trends varied greatly across the country: the South led the growth, the North recorded moderate increases, while Central Italy experienced a slight decline, primarily due to Tuscany.
The report also notes the increase in wine and must inventories. In several Italian appellations, yields were voluntarily limited to contain stocks. According to data cited by the Italian Wine Union, inventories reached 61 million hectoliters in January 2026, up 6% from the previous year, rising to nearly 68 million when musts are included.
The situation was more challenging for France and Spain. France produced 36,1 million hectoliters, 16% below the five-year average, penalized by extreme heat, drought, and widespread climate problems across all wine-growing regions. Spain, with 28,7 million hectoliters, suffered its third consecutive year of drought and heatwaves, resulting in one of the lowest harvests in decades.
Outside Europe, the report highlights signs of recovery in countries such as Brazil, New Zealand, and South Africa, which benefited from more favorable weather conditions after the difficulties of 2024. Brazil, in particular, recorded an 80,6% jump in production, while New Zealand achieved the second-largest harvest in its history.
At the same time, global vineyard area continues to decline, falling to 7 million hectares in 2025, a 0,8% decrease from the previous year and marking the sixth consecutive year of decline. Italy, after growing in 2024, also saw a slight reduction in vineyards to 726 hectares (-0,3%), while still maintaining the world's fourth-largest vineyard area after Spain, France, and China.
Consumption also continues to decline. The OIV estimates global consumption for 2025 at 208 million hectoliters, down 2,7% from 2024. Since 2018, the global market has lost approximately 14% of its volume, amid inflation, declining purchasing power, and changing social and dietary habits.
Nine of the ten largest global markets saw a decline in consumption. The United States, the world's largest market, fell to 31,9 million hectoliters (-4,3%), partly due to lower alcohol consumption among younger people and growing price sensitivity. China also struggled, with consumption falling 13%, continuing a negative trend that began in 2018.
Going against the trend, Portugal stands out, reaching a record consumption level with 5,6 million hectolitres, and once again Brazil, reaching an all-time high with 4,4 million hectolitres consumed.
Finally, international wine trade remains under pressure. In 2025, global exports fell 4,7% to 94,8 million hectoliters, while their value fell 6,7% to €33,8 billion. The report attributes the slowdown primarily to tariff tensions, uncertainties in the US market, and weak global demand.
Italy maintains its global leadership in exports by volume, with 21 million hectoliters exported in 2025, ahead of Spain and France. However, export sales declined by 2% in volume and 3,4% in value, falling to €7,8 billion.
Bottled wine continues to represent the core of Italian exports, accounting for 55% of volume and 65% of total value, while sparkling wines have shown greater resilience compared to other segments. Bulk wine, however, has seen a more marked decline.
The United States remains the largest market for Italian wine in terms of value, with €1,7 billion, but purchases decreased by 9,1%, partly due to the impact of new tariffs introduced in the second half of the year. Germany, however, remains the largest market in terms of volume, despite recording a decline of nearly 10%.
