America’s brick-and-mortar retailers are in crisis, and foreign e-commerce giants are fueling the destruction. A staggering 15,000 chain stores are expected to shut their doors this year—more than double last year’s closures—marking the worst retail collapse in over a decade.

A report by Coresight Research reveals that by the third week of 2024, over 2,000 store closures had already been announced, compared to just 470 in the same period last year. Retail giants like Macy’s, Walgreens, Big Lots, 7-Eleven, and Party City are among the hardest hit. But what’s behind this retail apocalypse?

The report points to aggressive expansion by foreign e-commerce platforms like China’s **Temu** and Singapore-based **Shein**, which are flooding the U.S. market with cheap products, crushing American retailers in the process.

Temu, an online marketplace selling everything from electronics to household goods, and Shein, a fast-fashion juggernaut known for rock-bottom prices, have become dominant players in retail. Shein sells apparel for as little as $2—a price American companies simply can’t compete with.

Together, these two companies are projected to generate a staggering **$100 billion in global sales in 2024**. Their rapid growth is fueled by deep-pocketed advertising campaigns and a business model that relies on ultra-cheap labor and lax regulations overseas—something U.S. retailers cannot match.

The rise of these foreign e-commerce titans is accelerating a shift away from physical stores. According to Coresight Research, online shopping is expected to account for **23.1% of all U.S. retail sales by 2025**, an 8.3% increase from last year.

But it’s not just foreign competition. Consumers are growing frustrated with American retailers’ **poor customer service, disorganized stores, and constant stock shortages**—failures that drive even more people online.

Retailers catering to lower-income Americans have been among the hardest hit. Discount chains like **Big Lots, Family Dollar, and 99 Cents Only** have accounted for **nearly 25% of store closures this year**, as inflation and economic instability squeeze working-class families.

The situation is so dire that retail bankruptcies are surging. In just the first month of 2024, **51 retail chains have gone bankrupt**—double the number from 2023. Major names like **The Container Store, Express, and teen retailer Rue 21** have all collapsed under economic pressure.

And things are only expected to get worse. Coresight’s research suggests that more chains, including **Joann Fabrics**, may soon follow.

Temu and Shein’s dominance isn’t just luck—it’s bought and paid for. Temu **poured $2 billion into advertising in 2023 alone**, making it the biggest spender on platforms like Facebook and Instagram. The company’s aggressive marketing helped it skyrocket from zero to **51.4 million U.S. users** in just over a year.

Meanwhile, Shein more than **doubled its profits in 2023, surpassing $2 billion** in earnings. Originally aiming to go public in the U.S., Shein is now eyeing **London’s Stock Exchange**, a move that could further expand its reach.

With historic numbers of store closures, a growing foreign e-commerce monopoly, and retail bankruptcies piling up, the question remains: **What will be left of American retail when the dust settles?**

American businesses are being undercut by foreign giants, all while U.S. regulators fail to take action. As companies like Temu and Shein continue their unchecked expansion, the American retail landscape is being rewritten—one shuttered storefront at a time.