Apple closes its first China store after 17 years as iPhone sales drop 50% and Huawei reclaims the top spot. The Dalian closure marks a strategic retreat from premium retail in a challenging market dominated by local competitors.

The move speaks to slowing spending by consumers and Apple’s continuing struggles in China, its second-largest market.

Apple Inc. is closing a retail store in China for the first time, marking a notable retreat in a market where the iPhone maker is striving to revive sales.