H&M's largest Asia store was in Hong Kong — now it has one branch in the New Territories

In October 2015, H&M opened a four-storey flagship at Fashion Walk on Paterson Street, Causeway Bay — promoted as the brand's largest store in Asia. The location signalled H&M's confidence in Hong Kong as a premium retail market. For a decade, the flagship anchored the brand's physical presence in the city.

On February 21, 2026, the Fashion Walk flagship closed when its lease expired. The following day, H&M also shut its Festival Walk branch in Kowloon Tong. After both closures, H&M was left with a single remaining Hong Kong store at Tsuen Wan Plaza in the New Territories — no physical presence on Hong Kong Island at all. The former flagship was subdivided and re-let to mainland Chinese brands including W.Management and Longfeng, at a reported HK$2 million monthly rent for 30,000 square feet.

H&M said it remained committed to Hong Kong through online sales and was exploring new locations while 'optimizing its retail network.' The retreat reflected broader pressures on Hong Kong retail: locals increasingly crossed into mainland China for cheaper shopping and dining, online competition eroded foot traffic, and fast fashion's appeal weakened amid sustainability scrutiny and changing consumer tastes. At least 20 chain brands closed or exited Hong Kong in 2024 alone.