IKEA has announced it will close seven of its large furniture and home goods stores in mainland China from Feb 2, 2026, marking the company’s largest single round of store closures since it entered the market in 1998.
The affected locations include stores in Shanghai Baoshan, Guangzhou Panyu, Tianjin Zhongbei, Nantong, Xuzhou, Ningbo and Harbin, the company confirmed after evaluating its existing customer touchpoints and retail footprint.
The closures reflect a strategic shift from broad store expansion to a model focused on more targeted, smaller outlets and strengthened online channels, as IKEA seeks to adapt to weaker consumer demand and heightened competition from more affordable local rivals in China’s challenging market.
The move comes as global retailers reassess their China strategies amid prolonged property weakness and shifting spending patterns.
IKEA said customers will still be able to shop through other nearby stores or via its digital platforms, including the IKEA website, app and e-commerce channels such as Tmall and JD.com.
The company plans to open more than ten smaller format stores over the next two years in key cities such as Beijing and Shenzhen, in line with its renewed focus on “precision growth” and deeper local engagement.
China remains a strategically important market for IKEA, which operates dozens of stores and has expanded its digital and omnichannel presence.
However, competition from domestic brands and slower consumer demand have challenged IKEA’s traditional large-store model, prompting the shift to smaller, more adaptable formats.
China News
