Overview
- The new venture will operate roughly 8,000 cafés in China and envisions expansion to more than 20,000 locations over time.
- Starbucks estimates its total China business value at over $13 billion when factoring sale proceeds, the retained stake, and future royalties.
- Completion requires regulatory approvals with closing targeted in Starbucks fiscal 2026 second quarter.
- Starbucks will continue to own non-retail operations in China such as the Kunshan Coffee Innovation Park and the Yunnan Farmer Support Center.
- The partnership follows two years of declining China same‑store sales and heightened competition from lower-cost rivals like Luckin Coffee.