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Suitable for the climate and market – why UNIQLO should open in Ukraine

The famous Japanese clothing brand UNIQLO has announced a significant expansion of the number of its stores in 2026. But the geography of the presence of this brand’s department stores, unfortunately, does not yet include our country. Although, as the director of UTG company, Evgenia Loktionova, emphasizes, the Ukrainian market and climate and consumer needs are ideally suited to the brand’s products. But, so far, there are no official physical UNIQLO stores in Ukraine, and direct delivery from the brand’s international online stores (for example, from a German or Polish site) to Ukraine may not be available. Although demand in Ukraine is already almost formed, because the brand’s products can be purchased through third-party online platforms and local stores that are engaged in resale or mediation. “This is a real paradox: the Ukrainian consumer is ready, the demand is huge (as confirmed by the volume of work of buyers and orders through foreign versions of the site), but there is no official entrance. But I am sure that when the situation in the country stabilizes, UNIQLO should open in Ukraine,” emphasizes Yevgeniya Loktionova.

A positive moment for UNIQLO’s entry into Ukraine is the Polish hub. The brand’s management company, Fast Retailing Group, has already opened its branch in Poland. At first, it was a Pop-up store in Warsaw, and after huge success, the network began to expand rapidly. This is an argument for expanding the brand’s geography of presence to Ukraine. After all, the logistics and management center for our country has moved to Poland. Therefore, as soon as the security situation stabilizes, expansion to Ukraine will go through the Polish office, and not as a separate isolated project. Another argument in favor of entering our market is the climate and needs of consumers in Ukraine, which are ideally suited to the brand’s products.

For example, the brand invests in scientific developments of fabrics, and not just in expensive design. UNIQLO makes light thermal underwear that converts body moisture into heat and retains it. This is a “smart” fabric made of ultra-thin fibers that absorbs and evaporates moisture, providing a feeling of coolness and comfort, as well as a series of ultra-light down jackets and vests that can be compactly folded. In general, the brand focuses on the production of basic, functional things that do not depend on fleeting fashion trends, embodying the philosophy of Life Wear or “clothes for life”. The main emphasis is on creating universal, high-quality and durable clothing for all people, regardless of age or gender, using advanced technologies.

But, despite the advantages of opening in Ukraine, UNIQLO has reasons for a wait-and-see attitude. Among them:

  1. The Japanese management model. Unlike the aggressive expansion of Inditex (Zara) or even H&M, the Japanese Fast Retailing Group operates on the principle of “measure seven times”.
  2. UNIQLO is extremely reluctant to work through franchising (unlike many brands that enter risky markets through partners). They prefer to open their own representative offices to control every aspect: from product display to service philosophy. But direct entry is a huge investment and risk that they are not yet ready to bear in Ukraine.
  3. Before the full-scale invasion, many global offices viewed the CEE (Central and Eastern Europe) region through the prism of Moscow offices. UNIQLO had a strong presence in the Russian Federation. That is, for the Japanese, Ukraine has long been a “second-tier market” in the shadow of the Russian market. After 2022, this model collapsed, but the new logistics and management vertical through Poland for Ukraine has not yet been completely built.
  4. Requirements for commercial real estate. UNIQLO is a demanding tenant. They need large areas – from 1,500 to 2,500 sq. m (sometimes more for flagships) on one level or a convenient two-level format. Therefore, to start UNIQLO, you need to rotate “anchors”, which is technically and legally difficult.
  5. UNIQLO also has its own requirements for area engineering, floor loads and ceiling heights often exceed the standards by which not all Ukrainian SECs were built.
  6. The import of goods, insurance of warehouses and cargo in Ukraine now costs a lot of money or is not covered at all by international insurers. For the mass market model, where margins depend on volumes, this kills economic feasibility.
  7. The war factor and security protocols also do not allow you to enter from scratch into a country where martial law, air raids and the risk of missile attacks are in force.

Summarizing all of the above, we can conclude that now, UNIQLO, having over 2,500 stores around the world, is still absent in Ukraine due to a combination of requirements, caution and force majeure circumstances of war. But, when the situation in the country stabilizes, the brand will be able to effectively enter the market through the Polish hub, first opening several flagship stores in the best SECs in Kyiv to test the market.