The global bubble tea market was valued at USD 2.63 billion in 2024 and is projected to rise to USD 2.83 billion in 2025. By 2032, the market is expected to reach USD 4.78 billion, growing at a compound annual growth rate (CAGR) of 7.81% over the forecast period. Asia Pacific led the market in 2024, capturing a 43.35% share.
In the United States, the bubble tea market is anticipated to grow significantly, with estimates suggesting it will reach USD 875.56 million by 2032, largely driven by increasing demand among younger consumers.
Market Overview and Growth Drivers
Originating in Taiwan, bubble tea has gained widespread acceptance in both Asian and Western regions, becoming a staple beverage globally. Initially popular across Asia, the drink has seen significant uptake in countries like Canada and the UK due to its distinct formulation—typically consisting of brewed tea combined with milk, sweeteners, fruit powders, and chewy tapioca pearls.
Bubble tea now stands as a symbol of Taiwanese culinary innovation in the food and beverage sector. According to Nextrends Asia 2021, Taiwan experienced a 330% surge in exports of bubble tea base ingredients between 2018 and 2021. Additional factors, such as rising interest in gastronomic tourism, increasing numbers of health-conscious consumers, and growing influence from social media platforms, continue to fuel the global demand for bubble tea.
However, certain challenges persist. Export restrictions, particularly involving ingredients sourced from countries like India (e.g., black or green tea), have created supply chain bottlenecks for manufacturers.
Information Source: https://www.fortunebusinessinsights.com/industry-reports/bubble-tea-market-101564
Market Segmentation Insights
Black Tea Segment to Gain Momentum by 2030
Growing interest in wellness-oriented beverages has bolstered demand for black tea due to its health-enhancing properties, including antioxidant, anti-aging, and anti-diabetic benefits. Green tea is also seeing steady demand, particularly among consumers seeking natural and organic drink alternatives.
Fruit-Flavored Variants Continue to Dominate
By flavor, the market is segmented into fruit, chocolate, coffee, original, and others. Fruit-based bubble teas—featuring mango, lychee, passion fruit, kiwi, lemon, and strawberry—are especially popular for their fresh taste and perceived health benefits. Meanwhile, chocolate-flavored variants are poised to experience the fastest growth, appealing to consumers of all age groups.
Key Insights from the Report:
- In-depth examination of growth drivers, restraints, and opportunities
- Analysis of regional market developments and trends
- Strategic profiles of leading market participants
- Updates on product launches, partnerships, and mergers & acquisitions
Market Drivers
Flavor Innovation and Product Diversity Fuel Expansion
Product diversification and flavor experimentation are major contributors to market growth. Brands are actively expanding their offerings with premium teas, functional ingredients, and customized options to meet evolving consumer demands.
For instance, in April 2022, U.S.-based Bubluv Inc. introduced three new boba tea variants made from konjac and tapioca starch, highlighting the growing trend toward healthier formulations.
Regional Insights
Asia Pacific Maintains Market Dominance
In 2022, Asia Pacific generated approximately USD 0.96 billion in revenue, with Taiwan and Vietnam serving as leading production and consumption hubs. The growth of themed tea cafés and dedicated bubble tea shops across the region underscores its strong demand. A notable example is the 2020 launch of Meme Xpress in Singapore, founded by local celebrity Chen Shucheng.
North America follows as the second-largest market, where demand for tea-based beverages is steadily climbing. Europe is also witnessing an increase in the popularity of pearl milk tea, influenced by the region’s growing exposure to Asian food culture.
Competitive Landscape
Leading Brands Prioritize R&D and Franchise Expansion
Market leaders are focusing on expanding their flavor ranges, improving nutritional profiles, and enhancing brand visibility through strategic franchise growth. Key players include Lollicup USA Inc., Gong Cha, Chatime, Boba Box Limited, Fokus Inc., Sumos Sdn Bhd, Troika J.C. (Qbubble), and Boba Tea Company—all of which are heavily investing in product development and global expansion.
Major Market Participants Include:
- Chatime Group (China)
- Gong Cha (Taiwan)
- CoCo Fresh Tea & Juice (Taiwan)
- Quickly (U.S.)
- Xing Fu Tang (Taiwan)
- Lollicup USA, Inc. (U.S.)
- TIGER SUGAR (China)
- Yummy Town (Happy Lemon) (Taiwan)
- O.I. The Co, LTD. (Taiwan)
Get Sample PDF Brochure: https://www.fortunebusinessinsights.com/enquiry/request-sample-pdf/bubble-tea-market-101564
Recent Industry Development:
- October 2021: Del Monte entered the U.S. bubble tea sector with the launch of Joyba Bubble Tea, which is now available through major retailers such as Costco, Target, Safeway, Circle K, and Albertsons.
