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Yantai is the birthplace of China's modern wine industry. Oversees compatriot Zhang Bishi established Changyu Wine Company as far back as 1892 in the city, and in 1992, Zhangyu's 100th anniversary, the city was named by the International Wine Organization as “International Grape and Wine City.” Meanwhile, TsingdaoWinery CO.,LTD, Yantai Grand Dragon Winery CO.,LTD and Tsingdao Huadong Winery CO.,LTD were either set up or expanded rapidly, making Shandong Peninsular the largest wind-producing area, claiming over 40% of the national output. The Sino-Franco jointly operated Dynasty Winery Co., Ltd., one of China's earliest joint-ventures, was set up in 1980, and is now one of the three largest wineries in the country.
In the early 80's, Changli County was designated by the Ministry of Light Industry as the base for introducing world's high-grade dry-red grapes and developing high-grade dry-red wines. Shortly afterward, senior engineer Guo Qichang and his colleagues from the Ministry's Fermentation Research Institute made the first bottle of high-grade dry-red wine in China. In 1988, China's first High-grade wine enterprise, Huaxia Winery Co., Ltd. was set up in Changli, and after a dozen of year's expansion, it was regarded as the leading-enterprise of the local wine industry. Bohai Bai area boasts the largest wine plantation, the finest grape varieties, and one half of China's wine production.


