Luckin Coffee has announced the construction of its 2nd fully-automated coffee bean roasting production base in Kunshan, eastern Jiangsu built at an investment of US$120 million.
Luckin aims to consolidate its foothold in the upstream supply chain, and the 53,000 sq.meter facility will be able to process 30,000 tons of coffee beans a year by 2024. It will also link all parts of the supply chain from raw bean sourcing, to roasting and storage as well as R&D.
Luckin already has a smaller 45,000 sq.metre coffee roasting hub in Pingnan, southeastern Fujian province built at a cost of US$30 million in 2021.
With the inauguration of the new Kunshan plant in 2024, Luckin Coffee will have a combined production capacity of 45,000 tonnes of its own self-processed coffee beans a year, enough to supply to 7,800 stores in China.
Kunshan is home to more than 100 leading global coffee chains. It has been the county with the biggest economy in China for 18 straight years.