Restaurant closures deepen as Taiwan’s Jhujian group ends Hong Kong operations

Another restaurant group is pulling out of Hong Kong as Taiwan’s Jhujian Catering Group announced on Wednesday that it will shut down all its local operations, citing prolonged weak spending and unsustainable losses.

The company said its three brands — Jhujianhotpot-HK, Yakiniku Smile, and Jhu Jian Suan Tsai Yu, a chain specializing in Sichuan boiled fish — will close their three Hong Kong outlets in phases before the end of November.

Despite adjusting its business model and marketing strategy, the group said it was unable to stem losses and had decided to end its Hong Kong operations to refocus resources on its core markets.

According to Taiwan’s Central News Agency, the group said in an announcement that, following a review of its overall business strategy and resource planning, it had evaluated the performance and market outlook of its Hong Kong unit and resolved to terminate the operations of Jhujian Catering (Hong Kong) Limited. The decision was approved by the board and the subsidiary will be liquidated in line with Hong Kong law.

Jhujian entered the Hong Kong market in early 2024, establishing a “brand cluster” in Mong Kok and opening its Jhu Jian Suan Tsai Yu outlet in Causeway Bay. But sluggish consumer sentiment and operating challenges quickly emerged.

Before Wednesday’s announcement, the Causeway Bay branch had already closed, while Mong Kok’s Jhujianhotpot-HK and Yakiniku Smile will continue operating only until late November.

The company said its Hong Kong business had shrunk year after year, with revenue falling short of expectations. After reviewing cost structures, management efficiency and broader market trends, the group decided to scale back non-core markets to improve overall performance.

Jhujian expanded into Japan in October 2024 and continues to operate its Osaka location. The group said Taiwan and Japan will remain its two strategic priority markets for future brand development.