Moutai’s Former Head Snared in Corruption Scandal
Big news from Beijing: the former deputy party secretary and chairman of China’s flagship liquor firm, Kweichow Moutai, is being prosecuted. The Central Commission for Discipline Inspection (CCDI) confirmed that Yuan Renguo has been expelled from the Communist Party, stripped of all duties, and face serious legal action.
What the CCDI Says
- “Yuan severely breached political discipline and rules.”
- He used his dealership qualifications—basically his privileged access to the famed Moutai brand—as a bargaining chip for favors.
- “Excessively large bribes,” and he was involved in an illegal for‑profit venture.
Xi Jinping’s anti‑corruption crusade has been on full swing for more than five years, and officials like Yuan aren’t getting away with it anymore.
Why Moutai Matters
Moutai isn’t just another company; it’s a cultural icon. The brand’s spicy Feitian 53 baijiu can fetch close to $250 per bottle, a price that makes it a staple at high‑profile banquets and business dinners.
Its history stretches back to the long March era, when the Red Army allegedly survived on this liquor. Today, as China’s middle class rakes in more disposable income, their thirst for premium drinks—just like Moutai’s—is at an all‑time high.
Soon After the Scandal
Despite the troubles, the company still saw a 35.2 billion yuan profit jump in 2018, marking a double‑digit rise year‑over‑year. Yet behind the glass of luxury lies a tale of political intrigue and a crackdown that shows the party’s tough stance on graft.
So there you have it: a powerful leader taking a #bailout to your liquor barrel, and the government saying “no more.” Let’s hope the next batch of Moutai comes without the extra—well, that’s a different story altogether.
