French Transformation: From Bordeaux to California and Beyond

France's wine producers have had a close relationship with the Californian wine landscape for over a century, initiated by Georges de Latour and the Beaulieu Vineyard in 1903. However, in the past eleven years, there has been a remarkable surge of French interest, reflected in a variety of investments in American wine regions. This transatlantic connection began its modern journey in 1973 when Moët & Chandon selected Napa Valley as the site for its second non-French sparkling wine cellar. The subsequent decades were marked by strategic partnerships, such as the one in 1979 with Baron Philippe de Rothschild and Robert Mondavi, which produced the legendary Opus One. Another wave of investment was triggered by François Mitterrand's social policies in the 1980s, when producers like Louis Roederer and Mumm chose California as the new home for their sparkling wine production. This movement has continued in recent years with Artémis Domaines and Chanel investing in Californian wineries. LVMH followed suit by acquiring significant stakes in Colgin Cellars and Joseph Phelps. But it is not only Californian vineyards in focus. In Oregon, Burgundy houses like Drouhin and Louis Jadot have invested in hopes of extending their expertise to new territories. This expansion not only serves geographical diversification but also opens new avenues to gain direct access to one of the largest wine markets in the world. The latest coup came from Virginia, where the Bouygues family integrated the "Lost Mountain" winery into their new portfolio, Eutopia Estates. These acquisitions enable French winemakers to distribute their wines more directly and thus more profitably in the USA. At a recent tasting in London, hosted by Florence Cathiard of Château Smith Haut Lafitte, the strengths of French expertise in handling American wine productions were evident. This demonstrated the potential of French wine houses to sustainably strengthen and improve their market position in the USA through direct customer engagement.