A RMB 3 Billion Investment to Further Enhance Its Supply Chain Resilience
QINGDAO, China, April 22, 2026 /PRNewswire/ -- Leading retail coffee chain Luckin Coffee ("Luckin" or "the Company", OTC: LKNCY) today announced the commencement of operation at its advanced smart roasting center in Qingdao, Shandong Province, China. With a total investment of approximately RMB 3 billion and an annual roasting capacity of over 55,000 tons, equipped with the world's largest single coffee roaster. The facility marks another step forward in Luckin's global supply chain with improved capacity and efficiency, driving progress in the intelligent and green transformation of China's coffee industry.
The commissioning of the Qingdao smart roasting center empowers Luckin to establish a synergized roasting network spanning four key locations — Qingdao, Pingnan, Kunshan and Xiamen (under construction) — with a combined roasting capacity expected to exceed 155,000 tons, setting a new industry record for coffee roasting capacity in China.
Leveraging the robust import strength of Qingdao Port, one of China's key foreign trade hubs, Luckin enables direct end-to-end shipment of green coffee beans from major global origins including Brazil, Colombia and Ethiopia to its local production facilities. Supported by Qingdao's integrated sea, land, air and rail logistics network, Luckin achieves efficient end-to-end coverage spanning raw bean procurement to end consumption.
Dr. Jinyi Guo, Co-Founder and CEO of Luckin Coffee, stated that Qingdao's inherent advantages in port logistics, bonded processing and multi-modal transport underpin Luckin's comprehensive value chain strategy spanning port-side manufacturing, bonded processing and global consumer markets. The commissioning of the roasting center represents a key milestone in Luckin's full value chain deployment. Focused on technological innovation and sustainable development, the Company advances the upgrading of China's coffee sector while bringing premium product experiences to consumers across the globe.
Luckin Coffee's innovative roasting facility is equipped with globally competitive intelligent systems, including the world's largest single coffee roaster and high-capacity in-house packaging equipment leading across Asia. A full-process automated production model, constant temperature and humidity smart warehousing, alongside the FRTO (Flameless Regenerative Thermal Oxidation) flameless regenerative thermal oxidation system, chart a solid path for the continuous upgrading of digital manufacturing and low-carbon operations. Designed in strict compliance with China's Three-Star Green Building standard and LEED Platinum certification, the center underscores Luckin's commitment to eco-friendly and low-carbon production.
Looking ahead, Luckin will continue to deepen its full coffee value chain layout, authoring a new chapter for the high-quality development of China's coffee industry, while empowering Chinese coffee brands to make steady strides onto the global stage.
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SOURCE Luckin Coffee
FAQ
What did Luckin Coffee (LKNCY) announce about the Qingdao smart roasting center on April 22, 2026?
Luckin announced the Qingdao smart roasting center commenced operations after an approximate RMB 3 billion investment. According to the company, the center delivers >55,000 tons annual roasting capacity and features automated, low‑carbon production systems.
How does the Qingdao roasting center affect Luckin Coffee's (LKNCY) total roasting capacity?
The Qingdao center adds over 55,000 tons, helping push combined capacity beyond 155,000 tons. According to the company, this expands a four‑site roasting network including Pingnan, Kunshan and Xiamen (under construction).
What sustainability and technology features does Luckin Coffee (LKNCY) highlight for the Qingdao facility?
The facility uses automated production, constant‑condition smart warehousing and an FRTO flameless regenerative thermal oxidation system. According to the company, it meets China Three‑Star and LEED Platinum green building standards for low‑carbon operations.
How will Qingdao port logistics support Luckin Coffee's (LKNCY) supply chain?
Qingdao port enables direct end‑to‑end shipment of green beans from Brazil, Colombia and Ethiopia to local production. According to the company, integrated sea, land, air and rail links improve procurement speed and logistical coverage.
Is Luckin Coffee's (LKNCY) Xiamen roasting center operational now?
No, the Xiamen roasting center is currently under construction and not yet operational. According to the company, Xiamen is part of the planned four‑site roasting network to reach combined capacity targets.
