Global apparel companies that deal with major supplier Bangladesh… | kbnmart

The current political unrest in Bangladesh is expected to disrupt the country’s apparel industry, potentially impacting global clothing retailers from H&M to Zara as they head into the key holiday season.

The country has been rocked by violence since July, forcing Prime Minister Sheikh Hasina to resign on Monday (August 5) and flee the country after hundreds of people were killed in a crackdown on protests demanding her removal.

Readymade garment factories in the country have been closed indefinitely. According to the Bangladesh Readymade Garments Manufacturers and Exporters Association, the readymade garment industry accounts for 83% of the country’s total export earnings.

Bangladesh was the world’s third-largest garment exporter last year, after China and the European Union, according to World Trade Organization data, exporting $38.4 billion worth of clothing in 2023.

Here are some of the major retailers that do business with Bangladesh: Swedish clothing retailer H&M sources clothes from about 1,000 factories in Bangladesh, according to a list of suppliers on the company’s website. The company said on Monday it was “concerned about developments (in Bangladesh).”

According to an annual filing, fast-fashion company Zara, owned by Spain’s Inditex, has 12 manufacturing complexes where 98% of its production was concentrated in 2022. Bangladesh was one of the manufacturing complexes, the filing showed.

The company declined to comment on Monday on the impact of political unrest on its business.

Japan’s Fast Retailing, owner of the Uniqlo brand, imports clothes from about 29 factories in Bangladesh.

Among U.S. apparel companies, VF Corp. has 49 owned facilities in Bangladesh, according to the company’s website.

Levi Strauss has 33 facilities in Bangladesh, according to the company’s website.