Costco is planning to open in Shenzhen in 2023. Initial plans to build a Costco in Guangdong were announced last September after a signed agreement was finalized between the Shenzhen government and the US-based retailer.
The project will be called Longhua Costco Galaxy, and the entire project, which also includes a megamall, is expected to be completed in 2025.
You may be familiar with the term ‘Shenzhen speed.’ Vice-chairman and president of Galaxy Holding Group, Yao Huiqiong, remarked: “[The] Shenzhen government is pushing forward the project at a ‘Shenzhen-style Tesla speed.’”
Shenzhen-style Tesla speed means even faster than normal, as the project has quickly won approvals from the city. Yao also added, “The project has gained strong support from the development and reform commission, the planning and land resources bureau, the commerce bureau and other government agencies of Longhua district.”
As of April 4, Shenzhen Daily reported that “the foundation construction was already in progress, including required surface cleaning and earth-rock excavation and backfill.”
Sam’s Club, another membership-only retail warehouse in Longhua district may face some competition once Costco moves in. Sam’s Club is owned by Walmart – another US giant which has been in Shenzhen since 1996.
Will Costco have staying power? Other large corporations such as Marks & Spencer, Home Depot and Amazon have all left the China market, but it appears that Costco has been well-received.
In Shanghai, the opening of the first Costco on the Chinese mainland in 2019 saw massive crowds and as a result, the warehouse had to close early.
Plans for another Costco in Shanghai are already underway, as a 47,319-square-meter space has been purchased in Pudong New Area by the American wholesale giant.
READ MORE: China’s First Costco Closes On Opening Day Due to Massive Crowds
[Cover image via Shenzhen Daily]
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