Uniqlo plans to open 20 additional stores in China between September to October this year – including its first store in Sanya. This takes place after announcements earlier in March, when Fast Retailing, the Japanese brand’s parent company, stated it would shutter up to 50 “unprofitable” stores in China. Currently, Uniqlo operates over 900 directly managed stores across mainland China. It plans to open 50 stores annually in the nation – resulting in a net gain of 30 stores. The reason for this could be China’s post-Covid reopening: with the rise of domestic travel and the popularity of up-and-coming destinations such as Hainan, as well as the growth of lower-tier cities across the nation. Chinese retail sales grew 2.7% YoY in July, an improvement from June’s 2% increase and slightly surpassing analysts’ expectations. While some sectors, such as domestic tourism, have seen recovery, the unemployment rate rose to 5.2% in July from 5% in June. This rate, however, only covers urban areas, and the youth unemployment rate was 13.2% in June, with July’s figures yet to be released. Northern inspiration As for Uniqlo: On August 16, the Japanese brand held its 2024 Fall/Winter product launch in Shanghai. This season’s collection, themed “Timeless Tones,” draws inspiration from the eclectic charm of Edinburgh and the modern color aesthetics of the Nordic city Stockholm. At the event, Uniqlo announced its continued investment in the Chinese market, aiming to upgrade its “individual store management” strategy. More recently across Chinese social media, the brand was praised for its pristine, moisture-wicking table tennis uniforms designed for the Swedish team at the Olympics, while Chinese players were clad in “sweaty-looking” outfits by Chinese sports brand Li-Ning.
