Click the image for details Recently, news of Walmart store closures has emerged in Beijing, Changsha, Guangzhou and other cities. On February 25, citizens reported signs of stock shortages and withdrawal at Walmart's Changsha Gaoqiao store. A reporter's visit found multiple shelves empty, and the second and third floor warehouses were almost completely bare. Several employees confirmed they had heard the store would close, but had not received official notice. Some employees said the store was "moving" and "business has been poor these two years," with goods to be transferred to the Walmart Huangxing Road store. Others said the Gaoqiao store would close next month. A staff member at the adjacent Shanghe International Plaza shopping center's marketing office said it was basically confirmed, though not officially finalized. Walmart had signed a 20-year contract with the building, which had not yet expired. The staff member said the decision to leave was Walmart's own. On March 2, the store manager officially responded that the company had issued a closure notice, and the store would cease operations from the next day. However, the Walmart manager also stated that the Gaoqiao closure does not indicate problems with Walmart's operations. The other three stores in Changsha continue normal operations, and in September, Walmart will open a new store in Yuhua District. The reporter learned that the Gaoqiao store had been operating for 9 years, but since last year, the Shanghe International Commercial Center has been undergoing large-scale renovations, with many shops closed. Walmart was one of the few stores still operating. On March 2, Walmart's Beijing Wangjing store officially issued a closure notice, stating it would cease operations from March 2, 2017. Walmart stated that shopping cards can be refunded, and users can call the service hotline to schedule refund procedures. Extended warranties on purchased items will not be affected. The reason given by staff for the closure was consistent with earlier online reports: rent increases and a dispute between Walmart and the property owner. Industry insiders also pointed out that merchants measure store performance by relative profitability rather than absolute rent figures. This closure may reflect Walmart's declining performance and the continued downturn of hypermarkets. On March 2, a "closure notice" was posted at Walmart's Guangzhou Tianli store, stating it would cease operations from March 2. A Walmart spokesperson confirmed the closure, citing lease expiration. After this store closes, Walmart will still have 15 hypermarkets and 1 Sam's Club in Guangzhou. Local suppliers will be largely unaffected. Walmart will continue to invest in the Guangzhou market, opening a hypermarket in Panyu by year-end, and Sam's Club plans to open more stores in Guangzhou. It is understood that the Tianli store was formerly a Trust-Mart, opening in May 2002, covering two floors with an area of over 7,000 square meters. It was an image store for Trust-Mart to upgrade its brand, with significant renovation investment, including not only regular supermarket categories like food, fresh produce, and toiletries, but also appliances and household goods. In 2007, Walmart fully acquired Trust-Mart, but it wasn't until 2013 that the Tianli store removed the Trust-Mart sign and became Walmart. Industry insiders noted that the Tianli store had been operating for nearly 15 years, with outdated hardware and high renovation costs. Additionally, within a one-kilometer radius, competitors like Vanguard, Ole, and ParknShop were vying for customers, making the lease-expiry exit unsurprising. In fact, in 2016, Walmart closed multiple stores in Anhui and other regions. According to Lianshang.com statistics, Walmart closed 13 stores in China in 2016, including 6 in Anhui, 3 in Shandong, and 1 each in Jiangsu, Heilongjiang, Jilin, and Hebei. As early as early 2016, Walmart announced it would close 269 stores globally, including 154 in the U.S. and 115 overseas, affecting 16,000 employees. In recent years, Walmart has closed stores in China almost every year. Data shows Walmart China closed 5 stores in 2012, 15 in 2013, 25 in 2014, 1 in 2015, and 13 in 2016. This year's "wave of closures" may be imminent. Despite the closures, openings continue. In 2016, Walmart opened 24 new stores in China, including 21 hypermarkets and 3 Sam's Clubs, with new store performance exceeding expectations. It also upgraded 60 stores. In 2017, Walmart plans to add 30-40 new stores and upgrade 50 existing ones. Notably, Sam's Club plans to open 3-5 new stores in 2017, in cities including Beijing and Shenzhen (each already having two stores), or first-time entries like Nanchang in Jiangxi, Nanjing in Jiangsu, and Changsha in Hunan. This could be the highest number of openings since Sam's Club entered China, potentially accounting for one-third of its current store count. Latest financial data also shows Walmart's total sales in China grew 5.4%, comparable sales grew 2.3%, and comparable average transaction size grew 5.2%, driven mainly by hypermarkets and Sam's Club. -END-