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Starbucks breaks ground for its revolutionary Coffee Innovation Park in China

Starbucks China

MILAN – Starbucks has hiked by 22% its investment to open a state-of-the-art roasting facility in China as part of its new Coffee Innovation Park (CIP). The global coffee chain will now commit CNY1.1 billion (US$167.2 million) to its Coffee Innovation Park in Kunshan, a city in eastern Jiangsu province, up from an initial CNY900 million, the Seattle-based company said today, according to Jiangsu Economic News.

The construction of the Starbucks China Coffee Innovation Park in the city of Kunshan, east China’s Jiangsu Province, officially began on Monday.

When operational in summer 2022, the 80,000 square meter innovation park will feature one of the first sustainable roasting plants in Starbucks global network, with smart supply chain operations.

According to the government of the zone, the introduction of new technologies in roasting production in the park can reduce carbon emissions by more than 30 percent compared with traditional methods.

An immersive experience center will showcase sustainable practices across the “Bean to Cup” coffee journey to visitors when open to the public.

The project of the innovation park was signed in March, which became the first industrial project invested in by the top 500 U.S. enterprises in China this year.

The bold infrastructure investment further deepens Starbucks multi-decade commitment to strengthen the specialty coffee industry in China, where it aims to have 6,000 stores by 2022.

As Starbuck’s second-largest market, China has become a major growth engine for the company. Same-store sales in the United States fell 9 percent in the company’s fiscal fourth quarter from a year earlier, while sales in China jumped 7 percent.