business · HK01

85°C Hong Kong Exit Confirmed: Kwai Fong Store Cleared, Yau Tong Branch Remains Open

about 1 hour ago2 MIN
85°C Hong Kong Exit Confirmed: Kwai Fong Store Cleared, Yau Tong Branch Remains Open

Summary

Taiwanese bakery and café chain 85°C is withdrawing from the Hong Kong market after 14 years of operations. The chain's Kwai Fong Plaza location has been completely cleared and shuttered, with neighbouring retailers confirming the store closed around September 1–2 . The Yau Tong Major Centre branch, however, remained open as of September 3, though staff declined to clarify whether it would also cease operations . Attempts by reporters to reach the company's Taiwan headquarters resulted in a brief phone call where an employee stated the company "would have other channels to respond" before abruptly hanging up . The Labour Department has reminded employers of their obligation to handle affected employees' termination compensation and urged any workers owed wages to contact its Labour Relations Division .

Key Points

  • 85°C was founded in Taiwan in 2004, expanding to 300 stores within three years before entering Hong Kong in August 2012 through a joint venture with Café de Coral
  • The first two Hong Kong stores opened on August 2, 2012 on Lai Chi Kok Road in Prince Edward and at South Horizons, with additional locations later added in Sau Mau Ping and Yau Tong
  • Café de Coral withdrew from the joint venture after approximately three years, leaving 85°C to operate independently in Hong Kong
  • By March 2026, the chain had shrunk to three stores across Hong Kong, and by September only the Kwai Fong and Yau Tong branches remained
  • The Labour Department has urged affected employees to contact its Labour Relations Division if wages or employment rights are owed, promising to provide appropriate assistance

Why It Matters

The departure of 85°C adds to a growing list of Taiwan-originated brands that have struggled to maintain operations in Hong Kong's challenging retail environment, where soaring rents and shifting consumer habits have squeezed numerous chains. With employees at the now-shuttered Kwai Fong location left without clear communication from the company, the incident underscores ongoing concerns about worker protections during periods of economic uncertainty.
The departure of 85°C adds to a growing list of Taiwan-originated brands that have struggled to maintain operations in Hong Kong's challenging retail environment, where soaring rents and shifting consumer habits have squeezed numerous chains. With employees at the now-shuttered Kwai Fong location left without clear communication from the company, the incident underscores ongoing concerns about worker protections during periods of economic uncertainty.

READ IT IN THE APP

Download on the App Store