The city of Yantai, China's top producer of wine, is becoming increasingly well-known internationally as a home to quality appellations.

Along its marina square, International Wine Street is lined with European style-buildings, while away from the city center a large expanse of modern vineyards are dotted with picturesque chateaux.

"The value of wine industry lies not only in economy, but also in tourism and culture," said Zhang Jiangting, mayor of Yantai. "We aim to make Yantai wine celebrated all over the world."

The city is at similar latitude to the celebrated vine region of Bordeaux, France, which according to the officials from the Yantai Wine Association, is part of why it is best place in China to grow quality vines - along with plentiful rain, abundant sunshine, favorable soil and the right humidity.

Now considered the world's seventh-largest wine region, Yantai is the only Asian city granted the status of an "International Grape and Wine City" by the International Office of Vine and Wine.

It is home to more than 150 wine enterprises that together produce 193,500 kiloliters each year, about 30 percent of the nation's total. Wine output of the first eight months of this year reached 150,900 kiloliters.

With wine making one of the pillar industries in Yantai, the local government introduced advanced production technology from France, Germany and the United States in recent years.

A number of well-known wine enterprises have now arrived in Yantai to invest.

According to local government statistics, the region has 180,000 mu (12,000 hectares) vineyard planted with more than 50 varieties of grapes.

The city has a complete industrial chain stretching from growing to processing. Total annual output is valued at 15 billion yuan.

Penglai, 60 kilometers from Yantai, is accelerating the development of vine growing and the wine industry. With the expansion of its vineyards to 150,000 mu (10,000 hectares), Penglai has attracted 45 prestigious vintners from home and abroad that produce 150,000 tons of wine and 2 billion yuan in revenue annually.

Noted brands

Name brands like Changyu, Great Wall and Wellong contributed to the fame of the "Grape Coast" in Yantai. In 2007, Changyu Pioneer International Group ranked in the top 10 of global wineries with US$695 million in sales. It is expected to grow a further 30 percent this year.

Not only leading the development of China's wine, Changyu also set up the first domestic winery - Changyu Castel Chateau. The company now has wineries in Yantai, Beijing, Liaoning and New Zealand.

Seven wine enterprises, both domestic and foreign, now have chateaux in Yantai.

To build its international name, Yantai began to host wine festivals in 2007 to showcase its brands.

In September, the city held its Second International Wine Festival that attracted more than 2,300 overseas enterprises and resulted in a total contracted foreign investment of US$1.57 billion along with import and export transactions worth US$700 million.