Beijing, July 30:Ā Apple will close a store in northeastern China in August, the first time it has shuttered one of its retail locations since it opened its first outlet in the country in 2008.The company said on Monday that it would close its store in Dalian Cityās Parkland Mall on August 9. On social media, locals have described the mall as struggling, noting that other brands like Michael Kors and Armani had closed their stores there.
āGiven the departure of several retailers at the Parkland Mall, we have made the decision to close our store,ā said Brian Bumbery, an Apple spokesperson. āWe love serving the Dalian community, and all of our valued team members will have the opportunity to continue their roles with Apple.ā
The closure is the latest sign of how Chinaās economy continues to be challenged by tepid consumer spending. The government has poured large sums into programs designed to spur purchases of smartphones, washing machines and electric vehicles. The trade-in programs have gotten people to spend more but economists say the impact on consumption could be short-lived.
The pullback also reflects Appleās ongoing business troubles in China, which is its second-largest market. Apple has reported declining sales in China for six quarters. Last year, it reported total revenue in the country of $66.95 billion, nearly 10% less than its peak of $74.2 billion in 2022.
Chinese rivals like Huawei, Xiaomi and Vivo have eroded Appleās share of the worldās largest smartphone market. Last year, Appleās share of sales of smartphones in China fell to 15.5% from 17.9% a year earlier, according to Counterpoint Research, a tech research firm.