Muguruza did not look sharp and was broken in the first game going on to lose the opening set 6-1.
Then when trailing 2-0 in the second, Muguruza could not continue and decided to retire injured.
“I got a virus in Wuhan and I did not practise in Beijing. I thought an extra day’s rest would help, and didn’t want to pull out,” Muguruza said afterwards.” But I couldn’t perform today.
“I think recovery is very important. Today was one of those days where I think it’s better to rest” she added.
In other action, American qualifier Christina McHale caused an upset when she defeated compatriot and 15th seed Sloane Stephens 6-3, 6-0.
US Open champion Stephens has been struggling of late, when she lost in the first round of last week’s Wuhan Open.
China’s Peng Shuai battled for nearly three hours to get past American Shelby Rogers 7-6(3), 3-6, 7-5 and will next be up against Monica Niculescu of Romania in the second round.