Clarks - Economic Audit

Supply Chain & Sourcing Relationships

Clarks is a footwear manufacturer and retailer, not a food or agricultural importer, and No public evidence identified links the company to Israeli agricultural aggregators such as Mehadrin, Hadiklaim, Galilee Export, or Agrexco. No dedicated Israel-specific importer-of-record subsidiary of Clarks itself was identified; instead, Clarks products reach the Israeli market through Original’s, an independent Israeli footwear retail chain that markets itself as “the official importer of Clarks in Israel” ¹. Original’s simultaneously holds official-importer status in Israel for several other international footwear brands including Birkenstock, Asics, UGG, Rockport, Reef, and Dr Martens, indicating a multi-brand import/distribution arrangement rather than a Clarks-dedicated entity ¹. Clarks products are additionally sold in Israel through Next Israel, an e-commerce storefront of the Next plc brand, functioning as a further third-party retail channel distinct from the Original’s import relationship ². Clarks’ own corporate disclosure of its global manufacturing footprint lists sourcing/production in China (26.7%), Cambodia (23.0%), India (17.8%), Vietnam (14.6%), Mexico (6.3%), Bangladesh (4.7%), Indonesia (2.9%), Albania (2.2%), Portugal (1.7%), and Romania (0.1%); Israel does not appear as a sourcing or manufacturing country in this breakdown ³.

Product Origin, Labeling & Regulatory Compliance

No public evidence identified of NGO investigations, customs findings, or “Produce of Israel”-style mislabeling allegations concerning Clarks, consistent with the company’s footwear-retail profile rather than agricultural sourcing. No public evidence identified of Clarks-specific labeling compliance actions or enforcement actions regarding goods of settlement origin. Review of Clarks’ corporate responsibility materials, including its “Where We Make Our Shoes” disclosure and its Business & Human Rights Resource Centre company profile, did not surface any publicly stated Clarks policy specifically addressing sourcing or labeling of goods from occupied or contested territories ³⁴. No public evidence identified of a Clarks corporate policy on this subject.

Investment, Capital & Financial Exposure

No public evidence identified of direct capital investment by Clarks - factories, data centers, logistics hubs, or real estate - within Israel or the occupied territories, and No public evidence identified of R&D facilities, technology partnerships, innovation labs, or accelerator programmes operated by Clarks in Israel.

Clarks’ ownership structure is well documented: C. & J. Clark International Limited is owned 51% by Viva Goods Company Limited, a vehicle controlled by Li Ning, majority shareholder of Hong Kong-listed Viva China Holdings, and 49% by the Clark family, following Viva China’s February 2023 buyout of LionRock Capital’s remaining stake ⁵⁶⁷⁸⁹. LionRock Capital, a Hong Kong private equity firm, held the majority stake in Clarks from November 2020 until the 2023 transaction ¹⁰¹¹¹². This ownership structure had not been reported as changed as of Clarks’ 2025 financial reporting ¹³.

A web-circulated claim asserting that BlackRock holds an indirect stake in Clarks “via HPS” could not be corroborated against primary sources. HPS Investment Partners is a New York-based private-credit firm acquired by BlackRock in a $12bn transaction completed 1 July 2025, but no Companies House filing, Clarks corporate disclosure, or trade press source was found linking HPS or BlackRock to Clarks’ capital structure ^14151617; this claim should be treated as unverified and likely erroneous.

No public evidence identified that Li Ning or Viva China hold separate direct investments or subsidiaries in Israel, and No public evidence identified of Clarks or its parent holding disclosed portfolio positions in Israeli-domiciled companies, Israeli sovereign bonds, or Israel-focused funds.

Operational Presence & Market Activity

Clarks does not appear to operate any wholly-owned retail, office, or warehouse footprint inside Israel. Market presence is structured entirely through third-party retail: Original’s, an official importer/franchise-style retailer operating approximately 32 branches across Israel per its own store locator ¹¹⁸, and Next Israel, a third-party e-commerce brand page ². A cross-check of the Original’s 32-branch store list against known West Bank, East Jerusalem, and Golan Heights settlement locations found no branch in Ariel, Ma’ale Adumim, Modi’in Illit, Pisgat Ze’ev, or other settlements; all listed branches sit within pre-1967 Israel or West Jerusalem locations such as Malha and Mamilla ¹⁸. A spot-check of the Ariel settlement’s Mega Or/Rami Levy mall tenant list did not surface a Clarks or Original’s storefront ¹⁹. No public evidence identified of a Clarks-branded or Original’s-branded store operating inside a West Bank, East Jerusalem, or Golan Heights settlement.

A separate mall-directory search identified two standalone “Clarks”-branded storefronts, distinct from the Original’s multi-brand format, at Florentin Mall in Tel Aviv and BIG Fashion in Rishon LeZion, both within Israel’s internationally recognized 1967 boundaries ²⁰. Additional evidence of a formal market-entry push includes an Instagram post referencing “The Iconic English shoe brand Clarks coming to Israel” and a “Clarks Originals @ Teder” pop-up/launch event in Tel Aviv, indicating an active or recent brand launch into the Israeli market consistent with the Original’s importer relationship, though full content and precise dating of both items could not be retrieved ¹²¹²².

No public evidence identified regarding Clarks’ Israel workforce size or specific tax/regulatory registration status, as presence is structured through independent third-party retailers rather than a Clarks-employing entity in Israel. No public evidence identified of any Clarks annual report, investor presentation, or press release characterizing Israel as a market; Clarks is privately held, with no public disclosures located breaking out Israel specifically ¹³²³²⁴.

Corporate Structure & Foundational Ties

Clarks was founded in 1825 in Street, Somerset, England, by Cyrus and James Clark, and was not founded or originally incorporated in Israel ²⁵. Its current legal domicile and operational headquarters remain in Street, Somerset, UK, registered as C. & J. Clark International Limited (Companies House no. 00141015) ²⁵¹⁴. No dual or legacy Israel headquarters was identified. No public evidence identified of Israeli state ownership stakes, government board appointees, Israeli government contracts, or critical-national-infrastructure designation for Clarks, and No public evidence identified of golden shares, founder shares, or charter provisions tying Clarks’ governance to the Israeli state or its policy objectives.

Current leadership includes CEO and Executive Chairman Victor Herrero, a former Zara executive ²⁶. No public evidence identified of personal or family-office investments by the Clark family, Victor Herrero, or Li Ning (Clarks’ majority owner via Viva China/Viva Goods) into Israeli companies.

Profit Repatriation & Economic Contribution

No public evidence identified of Clarks-disclosed revenue specifically attributed to the Israeli market. Clarks’ group financial disclosures are reported at consolidated level without an Israel-specific breakout: group sales of £871.5m for the year reported in 2025, down from £901.3m the prior year, and group net profit of £31.3m compared with a prior-year net loss of £39.3m ¹³²³²⁴. Given the third-party importer/retailer structure through Original’s and Next Israel rather than a Clarks-owned Israeli subsidiary, any profit flow to Clarks from the Israeli market would run via arm’s-length wholesale/licensing payments from these independent Israeli retail businesses to Clarks’ UK/international entity, meaning profits generated in Israel by the independent retailer would primarily accrue to that Israeli third party. No public evidence identified of the specific commercial terms of this arrangement, and No public evidence identified of any industry report, government designation, or sector assessment characterizing Clarks as significant within the Israeli economy.

Authoritative-Source Screening

Clarks / C&J Clark International does not appear in the visible content of the Wikipedia-maintained “List of companies operating in West Bank settlements,” which compiles the OHCHR/Who Profits-sourced roster of 158 settlement-linked enterprises ²⁷²⁸. Clarks does not appear in the “List of companies involved in the Gaza war” Wikipedia compilation ²⁹. No Who Profits company-database entry for Clarks was located, notwithstanding that the database actively profiles comparator footwear/apparel retailers such as Aldo and Teva Naot, confirming the sector is indexed and the absence of a Clarks entry is not a coverage artifact ³⁰³¹. No public evidence identified that Clarks is named in the Who Profits database. The Don’t Buy into Occupation 2024 report landing page was reviewed and no mention of Clarks, C&J Clark, Viva China, Li Ning, or LionRock Capital was found in the retrievable summary content, though the full Annex 1 company-list PDF could not be independently opened ³²³³. No public evidence identified of Clarks, its parent (Viva Goods/Viva China), controlling principals, or predecessor owner LionRock Capital appearing in UN OHCHR settlement-business database press materials reviewed ³⁴³⁵²⁸.