The largest clothing manufacturer in Russia

Transfer production to Bangladesh and Vietnam

Recently, the Russian clothing and footwear manufacturer Gloria Jeans plans to close some of its production facilities in Russia.

These measures will mainly affect the infrastructure of Rostov Oblast. A sewing workshop in Salsk has been closed and the employees have been hired by other factories.

Gloria Jeans currently has 18 factories in Russia and the company refused to comment on this matter.

It is reported that the company is considering relocating its production to Vietnam, Bangladesh or Uzbekistan, where cotton cultivation provides a stable supply of raw materials and industrial facilities are also very complete. This means that there is no issue of material supply, and the costs brought about by exchange rate fluctuations are also relatively low.

The shortage of skilled workers in the Russian garment industry is worsening.

In addition to human resource constraints, Russian manufacturers also have to deal with local inferior materials and accessories. Therefore, enterprises are forced to purchase products from other places. Due to the international payment problems caused by sanctions, there are also difficulties in purchasing sewing equipment.

In the third quarter of 2024, Russia’s staffing level dropped again, reaching the lowest point on record.