In a significant move, Apple is closing a retail store in China, its first store closure in the country. The Dalian store, located in the Parkland Mall, will cease operations on August 9th due to changes in the shopping complex and the departure of other brands. This decision reflects the current economic situation in China, where consumer spending is down and economic pressures are mounting. Apple’s sales in China in the second quarter fell short of expectations.
Concurrently, Apple is expanding its operations in India, which is now the largest exporter of smartphones to the United States. Data indicates that India’s share of US-bound smartphone exports has dramatically increased. Apple is also manufacturing iPhone 16 series Pro models in India for export. However, the company continues to rely on China for the production of the Pro models.
While scaling back in China, Apple continues to invest in new stores globally, with a new store opening in Shenzhen on August 16th. Further store openings are planned for Beijing and Shanghai. This strategic balance indicates Apple’s efforts to adapt to changing market dynamics.