Even military uniforms are ordered from China: the Russian fashion industry faces falling demand and store closures
Kyiv • UNN
The Russian fashion industry has not capitalized on the departure of international brands, facing falling demand and store closures in 2024–2025. Instead of developing its own production, the market has been flooded with imported goods, and businesses are losing profitability.
Despite promises of "import substitution" after 2022, the Russian fashion industry has failed to capitalize on the departure of international brands. The temporary increase in sales quickly gave way to a decline: in 2024–2025, the industry faced a drop in demand, store closures, and rising costs, UNN reports with reference to the Foreign Intelligence Service.
Details
According to intelligence data, even major players in the fashion industry are massively curtailing their business in Russia. Incity and Deseo went bankrupt, the Just Clothes brand closed, and Gloria Jeans is closing stores, selling factories, and moving production abroad. Half of all closed retail outlets in 2025 are clothing and footwear stores, mostly Russian.
Instead of developing its own production, the market was filled with imported goods under new signs. Clothes are still imported from China, Turkey, and through buyers. Russia has also not created a full-fledged textile base: there are no modern factories, quality fabrics and accessories, even military uniforms are ordered from China. Wildberries and Ozon marketplaces only increased dependence on cheap Asian imports, displacing local manufacturers.
Intelligence emphasizes that against the backdrop of rising taxes and fines, businesses are losing profitability, and consumers are losing purchasing power. As a result, Russian fashion proved unable to exist without well-known international brands, exposing poverty, technological weakness, and the economy's complete dependence on the outside world.