Canadian fashion retailer Frank and Oak has announced its plans to close its operations in the US, effective at the end of April.
The retailer blamed the increasing uncertainty around tariffs for its sudden liquidation efforts, which led to difficulties in operating in the US.
Frank and Oak is also set to shutter 10 of its locations in Canada in the first week of May as it prepares to close operations after filing for bankruptcy under the Bankruptcy and Insolvency Act, according to a report from Retail Dive.
Elisabeth de Gramont, group chief brand officer at Unified Commerce, said, “The brand will continue to share additional details regarding additional impacted locations, closure timelines, and customer accommodations, including final sales events.”
Recently, retailers in the US and Canada have been affected by the ongoing trade tensions in the past months.
Another Canadian retailer, Hudson’s Bay, recently filed for bankruptcy and blamed the new laws around tariffs as a reason for its financial struggles.
The retailers under its banner include 80 Hudson’s Bay stores, three Saks Fifth Avenue locations, and 13 Saks Off 5th stores in Canada, all of which are facing an urgent liquidity crisis.
However, goods imported from Canada and Mexico have not been affected due to a 90-day pause on tariffs.
Meanwhile, China recently raised its tariffs on US products to 125% as a countermeasure to the new tariffs implemented by President Donald Trump on Chinese goods, which were increased to 145%.
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