Japan apparel maker Stripe International quits China as part of restructuring campaign
TOKYO, NNA – Japanese apparel maker Stripe International Inc., known for its “earth music & ecology” casual clothing brand, has withdrawn from the Chinese market as part of its corporate restructuring.
Stripe China Ltd., its Shanghai-based unit, terminated all its business activities in China, including online sales and franchise store operations by the end of June, a spokesman in Tokyo said in written reply to NNA on Wednesday.
“The move is part of our entire group’s strategy and a management decision from the viewpoint of selection and concentration,” the spokesman said, but did not elaborate further.
The company cited in a notice posted on its flagship online store on Tmall.com, a major online marketplace in China, that the global COVID-19 pandemic has weighed on its sales despite its efforts to leverage sales.
The spokesman said Stripe International will liquidate the local unit “at an appropriate time,” adding that the firm will continue its overseas business in other areas including Southeast Asia.
Stripe International, headquartered in the western Japan city of Okayama, had operated stores and retailed its products on e-commerce sites in China since it set up the local arm in Shanghai in 2011.
The company announced in 2018 that it would collaborate with Alibaba.com Japan Co., a subsidiary of Chinese e-commerce company Alibaba Group Holdings Ltd., in an effort to strengthen its business in China. It intended to integrate data on domestic and cross-border e-commerce as well as stores held by both partners to maximize its sales in the Chinese market.