After continuing to operate throughout the invasion of Ukraine, the global fashion powerhouse with headquarters in Nottingham is now closing its two branded stores in St. Petersburg and on Moscow’s Red Square.
Paul Smith has acknowledged that continuing to do business in Russia, even through a franchise partner, was a “mistake.”
Following the invasion in February last year, numerous other British companies left the nation. The two Paul Smith locations, however, were still open, according to a Daily Mail inquiry.
Since the invasion, the company has acknowledged supplying inventory to Mikhail Kusnirovich, a Russian entrepreneur, and has pledged to quickly terminate the business partnership and close its outlets.
Brands are still permitted to ship products to Russia despite British government bans if they are sold for a price below £ 250.
“The company does not trade directly with Russia, but for the past two decades, we have had a franchise partner who operates stores in Russia. We now realise it was a mistake to allow these stores to continue trading in our name against the background of the war in Ukraine,” said a Paul Smith spokesman.
