Retail Sector Faces Renewed Pressure as Closures Continue Nationwide
The U.S. retail industry is facing continued disruption in 2025, as several major retail chains announce large-scale store closures amid changing consumer habits, digital competition, and operational challenges. In May, Forever 21 confirmed plans to close all 354 of its remaining U.S. stores after filing for Chapter 11 bankruptcy protection. The company cited unsustainable operating costs and declining foot traffic in malls across the country. Similarly, Joann—a longtime staple in the arts and crafts sector—has moved forward with the closure of more than 250 stores, following its second bankruptcy filing within a year.