Apple (NASDAQ ticker: AAPL) will close its retail store in Dalian, China next month, marking the first store closure since entering the Chinese market in 2008. According to The New York Times, Apple announced on Monday that it will shut down the store at Parkland Mall in Zhongshan District, Dalian on August 9 due to widespread retail performance decline. Several well-known brands, including Michael Kors and Armani, have already withdrawn from the mall, and local residents have noted poor mall operations.
Apple spokesperson Brian Bumbery stated in a statement: Given that multiple retailers have exited Parkland Mall, Apple has decided to follow suit and close its store. Apple loves serving Dalian, and all excellent team members will have the opportunity to continue working at the company, meaning no layoffs will occur.
Table of Contents
ToggleApple Greater China Sales Decline for Six Consecutive Quarters
Apple will continue to operate its second store in Dalian Hang Lung Plaza and remains committed to the region's development. A new Apple retail store will open in Shenzhen later this month. Apple faces increasingly severe challenges in the Greater China region, its second-largest market. Previously, Apple has reported sales declines for six consecutive quarters. Last year, Greater China revenue dropped to $66.95 billion, nearly a 10% decline from its 2022 peak.
Intense Competition in China's Smartphone Market, Apple's Market Share and Shipments Decline
In 2024, China's smartphone market is expected to ship approximately 285 million units. According to Canalys, the top five brands are vivo, Huawei, Apple, OPPO, and Honor. vivo leads with about 49.3 million units and a 17% market share; Huawei follows with 46 million units and a 16% share, achieving a 37% year-on-year growth through high-end models and proprietary technology; Apple's shipments declined to 42.9 million units, a 17% year-on-year decrease due to AI feature limitations and competitive pressures; OPPO and Honor rank fourth and fifth with 42.7 and 42.2 million units respectively. Counterpoint Research data shows Apple's market share in China's smartphone market dropped from 17.9% to 15.5% in 2024. The domestic smartphone market is highly competitive, challenging Apple's market position.
With Parkland Mall closing, Apple will still maintain 58 stores in China in 2025, despite strategic withdrawals. According to Benzinga Pro price trend data, Apple's stock rose 0.079% during regular trading hours and an additional 0.028% in after-hours trading, currently at $211.36. Pure market observation, not investment advice.
Risk Warning
Cryptocurrency investments carry high risk with potentially significant price volatility. You may lose your entire principal. Please carefully assess the risks.
