- New facility adds capacity in one of China’s largest bottled-water and beverage clusters
- Project underscores growing competition for premium water sources and logistics hubs
Chinese beverage maker Genki Forest (元气森林) has signed an agreement to build a 1 billion yuan ($148 million) manufacturing base in Hangzhou’s Chun’an County, expanding its production footprint in a region known for its water resources and beverage industry.
The project, signed on May 29, will occupy about 210 mu, or 14 hectares, in Hangzhou’s Chun’an Economic Development Zone and include eight beverage production lines covering the company’s full product portfolio.
The facility will manufacture products including sparkling water, electrolyte drinks, iced tea and the Hao Zizai brand, alongside future product launches.
Once fully operational, the plant is expected to generate annual output value of at least 1 billion yuan.
The Chun’an project will add to Genki Forest’s existing network of self-built manufacturing facilities nationwide. The company already operates six plants across Anhui, Tianjin, Guangdong, Sichuan, Hubei and Jiangsu.
Access to water
The company said its decision to locate the project in Chun’an was driven by access to water from the Thousand Island Lake area, proximity to key consumer markets in eastern China and the region’s business environment.
Thousand Island Lake, a man-made reservoir in Zhejiang Province known for its high-quality water resources, is one of China’s largest bottled-water production hubs.
The factory will also incorporate tourism-related functions, reflecting a broader trend among Chinese consumer brands to combine manufacturing sites with visitor attractions.
Beverage industry cluster
Chun’an, best known as the home of Thousand Island Lake, has emerged as a major beverage production hub. By the end of 2025, the county hosted 82 beverage-related companies, including Nongfu Spring, Cheerday Beer, almond milk producer Chengde Lulu and other drinks manufacturers.
The local water and beverage industry generated 21.48 billion yuan in sales revenue last year, while industrial output from the sector rose 20.8%, contributing more than 70% of overall industrial growth in the county.
Local officials said Genki Forest’s arrival would strengthen Chun’an’s presence in fast-growing beverage categories aimed at younger consumers.
The county is seeking to expand a beverage industry cluster spanning bottled water, fruit and vegetable juices, functional drinks and carbonated beverages.
The Chun’an Economic Development Zone said it would provide comprehensive support to accelerate construction and commissioning of the Genki Forest project.
