Foreign media: American brands are losing popularity in China: Nike's China revenue plummeted by 30% since 2021, hitting an eight-year low; Starbucks is being outpaced by local brand Luckin Coffee, whose store count has now exceeded three times that of Starbucks, forcing Starbucks to form a joint venture with Boyu Capital; General Motors saw its annual profit in China shift from around $2 billion in 2018 to two consecutive years of losses in 2024 and 2025.
The main reasons include geopolitical tensions, the rise of domestic brands, and lagging innovation. However, Lululemon, Ralph Lauren, and KFC continue to grow, primarily due to product localization, channel adaptation, and value alignment.
The automotive industry is particularly harsh—American "Big Three" automakers' market share in China has dropped from 21.4% in 2019 to 15.7% in 2025, and Tesla is reportedly considering selling or divesting its Chinese operations.
Original source: toutiao.com/article/1874141010514048/
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