American Eagle Outfitters has officially closed its Tmall store, sparking speculation that the company is leaving the Chinese market.
The American retailer recently announced on its official WeChat account that the brand is taking a ‘temporary break.’
Chinese customers can still buy American Eagle and Aerie products on the company’s official website, but it appears that all orders will be shipped from the United States.
The potential exit of American Eagle Outfitters demonstrates that the Chinese market is becoming increasingly difficult as domestic brands offer items at a lower price point and at a faster pace than international fast-fashion players.
“The company has made a strategic business decision to refocus its priorities on a sharper set of geographies. As such, the digital-only business within mainland China operated by Tmall has been retired,“ said an American Eagle Outfitters spokesperson in a statement.
Known for its denim and accessible casualwear products, the American retailer has shifted its focus onto the Indian market this year, with plans to open 50 stores in partnership with Aditya Birla Fashion and Retail.
