Underwear firm Charle exits China

Kyodo

Women’s underwear retailer Charle Co. announced it is withdrawing from the Chinese market due to sluggish sales amid intensifying competition with rival firms and tensions over the Senkaku Islands.

The Kobe-based company set up a sales subsidiary in Shanghai in 2005 to expand sales by opening shops in department stores, but it has been operating at a loss.

Charle said Thursday it will decide as soon as possible on the future of its Shanghai subsidiary, including its dissolution or sale.