Kimberly-Clark, the American multinational personal care corporation, has shared its intention to leave Nigeria after operating for nearly 15 years. The company made this announcement in a statement on Friday. They mentioned that this decision was a result of the company’s shift in global strategic priorities and the economic situation of the country.
Kimberly-Clark plans to shut down its manufacturing facility and commercial office in Lagos and will stop producing, promoting, or selling its Huggies® and Kotex® products in Nigeria.
In line with Kimberly-Clark’s value of care, the company’s main focus will be on meeting its responsibilities and ensuring that employees and partners are treated fairly and respectfully.
Kimberly-Clark is leaving Nigeria because of tough economic conditions like high energy costs, expensive raw materials, and reduced customer demand.
They invested $100 million in a production facility in Ikorodu, Lagos state, but have been operating below capacity since late 2023 due to the harsh economic environment. The high production cost is due to increased raw material costs since it is import-based, making it challenging for the company to sustain profitable operations.
The company has a history in Nigeria, starting operations in 2012 but ceasing activities after five years in 2019 due to unfavorable economic conditions. They resumed operations in 2021 but have now decided to exit the market.
