As Russia is tightening its grip on Ukraine, brands around the world are standing up for Ukraine by exiting from the Russian market or pausing the ongoing business operations. More brands are professing their solidarity for Ukraine.
Adding to the list of brands, the German sportswear brand Puma has closed down its Russian operations temporarily. In a statement given to AFP Puma spokesperson stated that 4% of its global turnover, which is around USD 7.4 Bn came from Russia and that the company will pay full salary for all the employees who were deployed across 100+ locations in the country. The German brand has also declared suspending its contract with the Russian Basketball Federation. The announcement was made after the International Olympic Committee’s recommendation on banning the Russian and Belarusian athletes from the international competition.
The Spanish apparel giant Inditex owner Zara has also shut down its operations across Russia. They have closed 502 shops in Russia and all online sales in the country have been halted. In a statement to Reuters Inditex said that in the current circumstances Inditex cannot guarantee the continuity of the operations and commercial conditions in the Russian Federation and temporarily suspends its activity. The company further stated that they have a support plan for around 9,000 employees who will be affected by the shutting down of operations.
The Swedish retail giant H&M has also announced the suspending over 150 stores across Russia. The statement from the company read, “H&M Group is deeply concerned about the tragic developments in Ukraine and stands with all the people who are suffering. H&M Group has decided to temporarily pause all sales in Russia. The stores in Ukraine have already been temporarily closed due to the safety of customers and colleagues. The situation is continuously monitored and evaluated. Representatives of the company are in dialogue with all relevant stakeholders. H&M Group cares for all colleagues and joins all those around the world who are calling for peace. Clothes and other necessities are donated by the company. H&M Foundation has also made donations to Save the Children and to UNHCR.”
Luxury brands like Hermes and Cartier owner Richemont, Kering owned LVMH and Chanel also announced the temporary closing of stores across Russia.
The sportswear maker Nike Inc has suspended its partnership with Russian Football Union. They have also made merchandise purchases on its website and app unavailable in Russia.
The furniture giant Ikea has closed its stores in Russia and has also paused all procurement from Russia and ally Belarus.
The Japanese automotive manufacturer Toyota Motor Corp has paused the production at its Russian factory. They have also stopped vehicle imports into Russia and have also stopped the supply chain indefinitely. Honda has also halted exports of its passenger vehicles and motorbikes to Russia. BMW has paused the production in its factories in Russia and has also stopped exports to the country. Harley Davidson has paused the export of its motorcycles to Russia and also suspended local operations.
