Tsingtao Brewery taps into Latin America

Tsingtao Brewery Co. Ltd<600600><168>, China's second largest beer brewer, has signed a bilateral trading agreement with Florida Bebidas, the largest beer manufacturer in Costarica, in a bid to tap into the Latin American market, according to market sources.

The strategic cooperation marks the first tie-up between a Chinese beer maker and a Costarica-based enterprise, sources reported.

Both sides have reached an agreement on further strategic distribution cooperation, said Yan Xu, Vice President and President-Marketing of Tsingtao Brewery.

Yan noted, depending on Florida Bebidas' overseas sales network, well-established distribution channels and brand awareness, the company will kick off expansion in Latin America and accelerate its internationalization strategy.

Tsingtao Brewery has also inked an agreement with Asahi Breweries Itochu (Holdings) Ltd and Yantai Beer Group to form a new joint venture (JV) through a share transfer deal, according to China Knowledge's earlier report.

During the first nine months of this year, Tsingtao Brewery sold 4.481 million kiloliters of beer, up 7% year on year.