Kweichow Moutai, Wuliangye, Louis Vuitton, Hermes and BMW are on the 2012 list of the 10 Most Valuable Luxury Brands of the World in a report released by Chinese research institute Hurun, according to the Chinese-language Beijing News.

Hurun has now released the report for eight consecutive years. For the first time, brand producers of the Chinese liquor products have been ranked alongside international brands such as Louise Vuitton, Hermes and BMW. Among them, Kweichow Moutai, with a US$12 billion brand value, ranks fourth on the list of the world'smost valuable luxury brand, higher than Mercedes-Benz and Chanel. In the category of same the product, the liquor producer has surpassed Hennessy, Moet & Chandon and Remy Martin. Wuliangye, valued at US$7 billion value, ranks seventh.

In addition, Hurun also released the Ten Brands Favored by Billionaires as Gifts, on which Kweichow Moutai ranked fifth.

Talk of Kweichow Moutai establishing itself as a luxury brand was widespread last year. In December, staff from the group had revealed that within three years, the retail price of its Feitian Maotai liquor will be over 5,000 yuan (US$791) per bottle, and the company will apply to international organizations to be recognized as a luxury brand within two years.　

Regardless of whether the liquor has an acknowledged status as a luxury brand, the prices of high-end spirits in China have soared, with a bottle of Feitian Maotai, with alcohol content of 53%, having risen to 2,000 yuan (US$316).

Hurun's list of the Ten Most Valuable Luxury Brands is compiled according to the market value of the company divided by the contributions of non-brand factors and multiplied by the proportion of the brand's premium to determine the brand's value.