Saxco Update - February 2026
Packaging supply stable; Chinese glass prices set to rise
Welcome to February’s update from our friends at Saxco, on market dynamics in beverage packaging.
This update first appeared as a paid subscriber feature in the Ciatti California Report on February 12th. If you are not yet a paying subscriber and would like full access to the monthly California Report, its actionable bulk wine and grape market intelligence, bulk inventory charts by volume and by varietal, and bulk/grape market activity barometer, you can check out our subscription plans by clicking this button.
As the industry moves further into 2026, the prevailing theme continues to be caution paired with selective opportunity. Conversations throughout January – including those at the Unified Wine & Grape Symposium – reflected a shared recognition that while broad-based growth remains uneven, the industry is entering a more measured, execution-focused phase rather than a period of contraction.
A consistent theme across producers, suppliers, and partners has been the collective effort to better understand evolving consumer behavior. Consumption patterns are changing, and the industry is actively working to identify where preferences, occasions, and channels are shifting – and how to respond. While the future may look different than historically, the wine industry is far from stagnant. In fact, these shifts are opening the door to new opportunities in how wine is produced, packaged, marketed, and experienced.
From a packaging standpoint, global supply remains generally stable, though cost pressures are resurfacing in more nuanced ways. One notable development discussed broadly across the market is China’s announced elimination of export VAT rebates on glass containers effective April 1, 2026. This change is expected to result in low-single-digit FOB price increases on Chinese-sourced glass and reinforces the importance of diversified and flexible sourcing strategies.
Domestically, freight and logistics conditions remain manageable, though regional capacity constraints persist. Many producers continue to prioritize inventory optimization and operational flexibility rather than early over-commitment, elevating the importance of reliability, service levels, and speed to market.
On the demand side, themes echoed at Unified remain consistent: Premium segments continue to show relative resilience, while commercial volumes face ongoing pressure. Purchasing decisions for wineries’ dry goods are increasingly driven by total landed cost, adaptability, and long-term partnership value.
Looking ahead, early 2026 is less defined by disruption and more by disciplined execution. Across the supply chain, there is a renewed focus on collaboration, insight-sharing, and innovation – all aimed at meeting consumers where they are today and shaping what the next chapter of the wine industry can become.
Bottled Tidbits: In the early 1900s, Champagne houses quietly transitioned from hand-blown bottles to standardized glass production – not to reinvent tradition, but to create consistency and reliability as global demand expanded. A reminder that evolution, when done thoughtfully, has long been part of wine’s story.