Amazon will shut its online store in China. The store allowed shoppers to buy from local sellers. The domestic marketplace will be shut but Chinese shoppers will still be able to order goods from Amazon’s global store. Amazon will also continue to operate its cloud business in China. Amazon’s profitable cloud computing division hosts huge swathes of the corporate world on its data servers.

Amazon bought Joyo, a Chinese books, music and video retailer, in 2004. It rebranded the company as Amazon in 2007. But it has struggled to compete with dominant players like JD and Alibaba. The shift away from the world’s second largest economy comes as the company pours huge investment into India. Amazon has committed to spending 5.5 billion dollars on e-commerce in India, where it competes with local rival Flipkart. Last year, it launched a Hindi version of its mobile website and smartphone app in an attempt to attract millions of new customers in the country. The plan is to think long term both in terms of top line and bottom-line. Amazon launched a host of global programs like Prime, Pantry, Subscribe and Save, Global Store, among others, which will be scaled up. The company has invested in various avenues such as infrastructure and logistics.