H&M, Uniqlo and Zara face potential delays in receiving their latest clothing collections due to the current political unrest in Bangladesh.
The fashion retailers are some of the many that use the country’s garment factories, which have been closed indefinitely amid the protests, Reuters reported.
Bangladesh prime minister Sheikh Hasina was forced to resign on Monday (5 August) and flee the country after almost 300 people were killed in a crackdown on demonstrations demanding her ousting.
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The country is the third largest exporter of clothing in the world last year, after China and the European Union, according to the World Trade Organisation.
H&M, which sources its clothing from about 10,000 factories in Bangladesh, said it was “concerned about the developments” in the country.
Zara has 12 manufacturing clusters where 98% of its production was concentrated in 2022 – Bangladesh is one of them. Meanwhile, Uniqlo owner Fast Retailing sources from about 29 factories in the country.
It is the latest blow to the fashion supply chain, following the disruption caused by the ongoing conflict in the Red Sea.
H&M was forced to push back some of its spring/summer campaigns due to the shipping delays and said it was ramping up efforts to nearshore its production and asking some suppliers to ship orders earlier to minimise disruption.
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