H&M suspends sales in Russia

·3-min read
H&M suspends sales in Russia
H&M is stopping all sales to Russia after it temporarily shut all its stores in Ukraine. Photo: Xisco Navarro Pardo/SOPA Images/LightRocket via Getty

Swedish retailer Hennes and Mauritz (H&M) has become the latest company to sever ties with Russia amid "deep" concerns over the conflict in Ukraine.

H&M (HM-B.ST), which is headquartered in Stockholm, said it would stop sales in Russia, and has already temporarily shut all its stores in Ukraine for the safety of shoppers and workers after the invasion.

The world’s second biggest fashion retailer said in a statement: "H&M Group is deeply concerned about the tragic developments in Ukraine and stand with all the people who are suffering."

It added that it "cares for all colleagues and joins all those around the world who are calling for peace".

Shares in the company were down 1.6% to 148.9p in early trade on Thursday in Sweden.

H&M shares declined 1.6% following the announcement. Chart: Yahoo Finance UK
H&M shares declined 1.6% following the announcement. Chart: Yahoo Finance UK

The announcement follows similar corporate boycotts of Russia over the invasion of Ukraine as sanctions over the invasion continue to bite.

Online retailer Asos (ASC.L) stopped sales in the nation on Wednesday, saying "against the backdrop of the continuing war" it was "neither practical nor right" to continue to trade in Russia. The company also suspended sales in Ukraine soon after the invasion last week Thursday.

Read more: How economic sanctions work

A spokesperson for Boohoo (BOO.L) said the fast fashion retailer had already suspended sales in Russia and does not serve Ukraine.

Meanwhile, high street retailer Next (NXT.L), which had sent orders from Britain to Ukraine by air, stopped taking orders last week.

German carmaker, Mercedes-Benz (MBG.DE) announced it will stop selling cars and vans to Russia, joining Aston Martin (AML.L) and Jaguar Land Rover in stopping exports to the country. Ford (F), BMW (BMW.DE), Renault (RNO.PA) have already reportedly shut Russian plants as supply shortages limit production.

Swedish carmaker Volvo (VOLV-B.ST) became the first international automaker to suspend car shipments to Russia until further notice.

Meanwhile insurer Aviva (AV.L) said it will offload almost £250m ($334m) worth of Russian investments following the war.

Luxury retailer Burberry (BRBY.L), has paused all luxury goods shipments to Russia "due to operational challenges", a spokesman said. The FTSE 100 (^FTSE) firm, which has four stores in Moscow, said it was monitoring the situation "closely" and was focused on supporting its staff especially in Ukraine and Russia.

Read more: What Ukraine invasion means for consumer prices in the UK

Tech giant Apple (AAPL) announced on Wednesday that it would pause sales of its products in Russia. Netflix (NFLX) has paused all future Russian projects and acquisitions as it "assess the impact of current events", and has indefinitely paused four Russian original series.

Global energy and aerospace firms, BP (BP.L), Shell (SHEL.L), Exxon (XOM) and aircraft maker Airbus (AIR.PA) also exited the Russian market.

British manufacturer JCB has paused all operations, including the export of machine and spare parts, in the country, where it has a small "assembly plant".

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