The Spanish fashion retail giant Inditex Group announces withdrawal from the Russian market

According to Russian reports, the parent company of the Spanish fast fashion brand Zara has been approved by the Russian government and will officially withdraw from the Russian market. This is another western multinational company that has withdrawn from Russia after the Finnish paper company UPM.

The Spanish fashion retail giant Inditex Group, which is the parent company of the fast fashion brand Zara, said that it has obtained approval from the Russian government to sell all its business and assets in Russia and officially withdraw from the Russian market. It is understood that sales in the Russian market account for about 8.5% of Inditex Group's global sales, and it has more than 500 stores across Russia. Shortly after the Russian-Ukrainian conflict broke out in February last year, Inditex closed all its stores in Russia.

Russia's "Kommersant" recently reported that since the outbreak of the Russia-Ukraine conflict, foreign commercial brands that have announced their withdrawal from the Russian market have suffered a total loss of approximately $1.3-1.5 billion US dollars. The losses incurred by these brands could exceed $2 billion US dollars if the losses from the suspension of operations over the past year or more are included. According to statistics from Yale University in the United States, since the outbreak of the Russia-Ukraine conflict, more than 1,000 companies have announced their withdrawal from the Russian market, including Ford, Renault, Exxon Mobil, Shell, Deutsche Bank, McDonald’s, Starbucks and other automotive, energy, financial and restaurant giants.