Pacific Coffee Aims for 50 China Stores by Year-End

Pacific Coffee’s push into mainland China has gathered pace faster than many expected. Just months after launching in the region, the Hong Kong-based coffee chain is moving aggressively to grow its footprint—targeting 50 company-run outlets by the end of this year. The move comes as competition in China’s premium coffee scene heats up, with global players and homegrown brands vying for urban consumers’ attention.

Yes, Pacific Coffee aims to have 50 directly operated stores across mainland China by the end of 2023, despite having entered the market less than a year ago. This aggressive expansion follows its acquisition by a major Chinese conglomerate.

Who Owns Pacific Coffee?

Pacific Coffee is owned by China Resources (Holdings) Company Limited, one of Hong Kong’s largest conglomerates. In a deal valued at HK$327 million (approximately US$42 million), China Resources Enterprise acquired an 80% stake in Pacific Coffee from its previous owner, Cafe de Coral’s parent company, Cafe de Coral Holdings’ affiliate itsa Pacific (also known as itsa).

How Is Pacific Coffee Being Managed in China?

After acquiring the majority stake, China Resources Enterprise placed Pacific Coffee under the full operational management of its wholly owned subsidiary, China Resources Vanguard (CR Vanguard). This retail-focused arm of the group is tasked with executing the rapid expansion strategy across mainland China.

What’s Driving the Rapid Store Openings?

The decision to accelerate store openings reflects both strategic timing and market opportunity. With a relatively small existing footprint in China, Pacific Coffee is looking to establish a stronger retail presence quickly. Launching multiple directly operated stores allows the brand to maintain quality control and brand consistency while testing different urban locations. The brand opened its first location on the mainland in late 2022, and the pace has since picked up markedly.

Frequently Asked Questions

How many Pacific Coffee stores are planned for mainland China by the end of 2023?

Pacific Coffee plans to have 50 directly operated stores across mainland China by the end of 2023. This target was confirmed by CEO Thomas Tong at the brand’s Taikoo Hui store opening, just months after entering the mainland market.

Who owns Pacific Coffee now?

Pacific Coffee is 80% owned by China Resources Enterprise, a major subsidiary of China Resources Holdings. The remaining 20% is still held by other stakeholders. China Resources took control through a HK$327 million cash deal in 2022.

Which company is managing Pacific Coffee’s operations in China?

Pacific Coffee’s operations in mainland China are being managed by China Resources Vanguard (CR Vanguard), a wholly owned subsidiary of China Resources Enterprise. CR Vanguard is responsible for executing the brand’s rapid expansion strategy.

When did Pacific Coffee enter the Chinese mainland market?

Pacific Coffee entered the Chinese mainland market in late 2022. Despite the recent entry, the brand has moved quickly to expand its presence, aiming for 50 company-operated stores by the end of 2023.

Why is Pacific Coffee expanding so quickly in China?

Pacific Coffee is accelerating its store openings to quickly establish a strong retail presence in China’s competitive coffee market. By opening multiple directly operated stores, the brand can maintain consistency while exploring prime urban locations ahead of competitors.