Inditex, the owner of Zara, is undergoing a "phased exit" from Myanmar in response to global trade union IndustriALL's call for disinvestment. As part of this process, the company will reduce its contracted manufacturers in the country. Myanmar has been embroiled in a violent civil war between the military and armed ethnic groups and anti-coup protestors since 2021.
The move follows Inditex's involvement with Hosheng (Myanmar) Garment Company, where seven union workers were fired for demanding a wage increase. Five of them were subsequently arrested. The junta's heavy-handed tactics have resulted in the arrest of over 300 union members and activists, effectively erasing the freedom of association.
The European Union has called for the release of the workers and urged adherence to fundamental human rights. Inditex stated that the events at Hosheng violated its supplier code of conduct.
Other fashion companies, including Aldi South, C&A, Mango, Primark, Marks & Spencer, Tesco, Fast Retailing, and RyohinKeikaku, have also exited or are in the process of exiting Myanmar.
