Jewellery and accessories retailer Claire’s has initiated bankruptcy proceedings in the United States and plans to take similar steps in Canada. The retailer says it will apply to the Ontario Superior Court under the Companies’ Creditors Arrangement Act.

All Claire’s locations across North America are expected to continue operating during the restructuring. The company says the process will allow it to unlock the value of its assets and assess possible future strategies.

Rising costs tied to U.S. tariffs on Chinese imports have added to Claire’s financial pressures. Since April 2025, the company estimates these tariffs have increased its supply expenses by more than $30 million. More than half of its jewellery products—around 56 per cent—are sourced from China.

In 2018, the jewellery retailer entered Chapter 11 bankruptcy. While the company experienced a period of stability in the following years, even weathering a sales slowdown during the COVID-19 pandemic, its recent results have declined. Court filings indicate that the downturn is driven in part by growing competition from online fashion and jewelry platforms such as SHEIN, as well as from niche retailers that specialize in ear-piercing services.

Founded in Chicago in 1961, Claire’s now operates more than 2,500 stores across 17 countries across North America and Europe. The brand is best known for targeting girls and teens aged three to 18 with affordable fashion items and ear-piercing services.