Apple will shut down one of its retail stores in Dalian, China, marking the tech giant’s first store closure in the country amid sluggish iPhone sales. Analysts believe the move signals a strategic shift as Apple adapts to waning performance in the Chinese market.
The Dalian store, located in the landmark Parkland Mall (百年城), opened on October 24, 2015. It was the first Apple retail store in Dalian and the second in Liaoning Province. With its closure scheduled for August 9, only one official Apple store will remain in this city of 7.5 million people.
While Apple has mostly focused on expanding its retail footprint across Greater China — which includes Mainland China, Hong Kong, Macau, and Taiwan — store closures are rare. As of last year, Apple operated 57 stores in the region and plans to open a third store in Shenzhen on August 16.
The closure comes as Apple loses market ground to domestic rivals. According to a report released on July 28 by Canalys, Huawei reclaimed the top spot in China’s smartphone market in Q2, reversing an overall sales decline. Huawei led with 18% market share and 1.22 million units shipped, followed by Vivo (17%), Oppo (16%), and Xiaomi (15%). Apple ranked fifth with a 15% share and 1.01 million units shipped.
Some netizens speculate the closure may also be tied to the declining foot traffic and rising rent at Parkland Mall. Reports indicate the mall has seen annual rent hikes averaging 12%, prompting industry watchers to suggest Apple is refocusing on a “digital-first + flagship store in key cities” model and phasing out underperforming outlets globally.
