Saina, who returned to the court after skipping the China Masters last week because of a knee problem, was not in her elements as she had just five smash winners against 10 by the Chinese.
The 2010 World Champion, Wang, who holds a 3-2 record against Saina, brought the Indian close to the net and then used her smashes to good affect.
In the first game, Wang surged to a 4-1 lead but Saina clawed back at 6-6 and held the lead for 10 more points, before the Chinese surpassed her at the last moment.
In the second game, Wang didn't give Saina any chance as she raced to 6-1 first and then held fort, leaving the Indian to do the catch up.
In men's singles, it was a sad end to Parupalli Kashyap's campaign as he retired hurt at 6-11 midway through the first game against Indonesian Tommy Sugiarto. Kashyap had stunned world number 10 Jan Jorgensen of Denmark.
Among other Indians, Ashwini Ponnappa and Pradnya Gadre suffered a 17-21 18-21 defeat to Thailand's Duanganong Aroonkesorn and Kunchala Voravichitchaikul in the women's doubles competition.
In mixed doubles, top seeded Chinese pair of Chen Xu and Jin Ma ended the journey of India's Pranaav Chopra and Siki Reddy with a 21-16 21-10 victory.