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Full Breakdown

Louis Vuitton Closes Guiyang Store Amid Ongoing Trademark Disputes in China

8/24/2026, 11:07:50 AM

Core Event: Guiyang Store Closure

Louis Vuitton will shut its sole store in Guiyang, the capital of Guizhou province, on August 31. The on-site notice confirms the closure reduces the brand’s southwestern China footprint to three stores, down from a peak of six.

Background: Trademark Lawsuits and Retail Optimization

The closure follows a series of trademark actions the French luxury house has pursued in China. In July, local tea chain Molly Tea was ordered to pay 10.3 million yuan (approximately US$1.5 million) for using a logo resembling Louis Vuitton’s. The verdict sparked online debate and drew public support for the Chinese company.

Louis Vuitton has been trimming outlets in the region, having closed stores in Kunming (February) and Chengdu Tianfu International Airport (June). It also closed its non-duty-free store at Terminal 3 of Beijing Capital International Airport on April 30, after Beijing Customs approved the cancellation of its health permit for frontier ports.

Data & Statistics

  • Peak southwestern China presence: six stores.
  • Current presence after recent closures: three stores.
  • Molly Tea settlement: 10.3 million yuan (US$1.5 million).

Official Statements & Responses

The company’s strategy emphasizes flagship expansion in top-tier cities such as Beijing and Shanghai, where immersive brand experiences and high-touch VIP services are increasingly valued.

Verbatim Quotes

  • “We see limited short-term sales impact from the Molly Tea incident. However, the real risk lies in the long-term effect on younger Chinese consumers , who will form the future consumer base for Louis Vuitton,” — Sandy Lim, director at S&P Global Ratings

Impact and Outlook

Analysts at Bain & Company project modest growth for China’s personal luxury goods market in 2026, despite volatility. Louis Vuitton’s shift toward fewer, higher-impact stores aims to align with evolving consumer preferences while mitigating risks from legal disputes and cultural sensitivities.