Australian wine exports increased by 34% in value to A$2.55 billion ($1.6b) and 7% in volume to 72 million 9-liter cases last year, according to Wine Australia, as a strong performance in China offset declines in the U.S. and other markets.

Australian exports to the U.S. fell 10% to A$325 million ($203m) on a 21% volume decrease to 11.8 million cases. But shipments to China soared between April and December after that country lifted tariffs on the category, with the nine-month period yielding exports of 9.2 million cases valued at A$902 million ($562m).

“Outside of the unique circumstances relating to exports to mainland China, global alcohol consumption is facing numerous headwinds, and this is impacting the results to other markets,” Wine Australia noted. “In many established wine markets consumption is declining due to health and wellness concerns and the rising cost of living. This has contributed to a global oversupply of wine and increased competition in already strained supply chains.”—Daniel Marsteller