Samsung reportedly shuts low-sales mobile outlets across China

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Samsung has reportedly closed underperforming mobile phone stores in China, following the company's earlier withdrawal from the country's home appliance market.

On 6 May, Samsung announced on its official website that, in response to rapidly changing market conditions and after careful consideration, it had decided to stop selling all home appliance products in mainland China, including televisions and monitors.

The brand is shutting down low-performing outlets and laying off staff in a bid to cut costs. Stores with monthly sales below RMB300,000 are being phased out, according to a Sina Technology report. The closures have affected cities including Shenzhen, Fuzhou, Zhengzhou, Xian, Kunming and Hefei.

MARKETING-INTERACTIVE has reached out to Samsung for more information.

In fact, the company's mobile business has been struggling in China for years. According to IDC, Samsung's smartphone market share in China fell to just 0.1% in the second quarter of 2026, down from 0.4% a year earlier. Shipments dropped by 60.8% year-on-year (YoY).

During the same period, Huawei, OPPO, vivo, Xiaomi, Honor and Apple together accounted for about 96% of the Chinese market.

Globally, Samsung remains the world's largest smartphone maker with a 22.6% market share in the second quarter of 2026. But its mobile experience division reported an operating loss of KRW 0.7 trillion (approximately HK$4.1 billion) in the quarter.

Don't miss: China retail sales fall for first time since Covid reopening

Against this backdrop, Samsung's retreat also comes as China's broader consumer market shows signs of strain. According to the National Bureau of Statistics, retail sales fell 0.6% YoY in May, reversing a 0.2% increase in April and marking the first annual decline since the end of 2022.

The decline adds to concerns over China's uneven consumer recovery, with exports continuing to perform strongly while household spending remains under pressure. For the first five months of the year, total retail sales of consumer goods still rose 1.4% YoY to 20,603.1 billion yuan. Excluding automotive sales, retail sales were up 2.7% over the same period.

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