List of companies that have ceased operations in Russia!
According to recent reports, after Russian President Vladimir V. Putin ordered the invasion of Ukraine on February 24, several multinational companies were seen examining their ties with Russia. Various market leaders like PepsiCo, McDonald’s as well as Shell, had built a strong and healthy relationship with the country over the decades and were in fact facing complicated deals to unravel.
That said, under pressure from consumers and investors, many Western companies have been known to unwind investments, suspend sales and close stores in Russia. However, some, after first taking contemporary action, revised their so-called plans and decided to leave the said country entirely. While others who have started the process of withdrawing from Russia have actually managed to reveal the financial cost to their businesses.
Overall, since Russia went to war with Ukraine, more than 100 companies from around the world and from almost every industry have severed business relations with the country or reduced them significantly.
Whether required by sanctions or simply a matter of choice, their actions include severing ties with Russian customers, suspending operations in Russia, shutting down online or in-person sales to Russian consumers as well as freezing financial transactions.
Below is a list of some of the companies across the pool that have severed business ties with Russia, with more new ones joining every passing day!
Companies that have stopped their operations in Russia!
The global tech giant has suspended sales of iPhones along with all other products in Russia and is expected to stop exporting to the country in response to Ukraine’s invasion, the company announced in March this year. year saying, “We are deeply concerned about the Russian invasion of Ukraine and stand with all the people who are suffering because of the violence. Plus, this particular move by one of the world’s leading tech brands would surely put pressure on other smartphone makers to follow suit. .
According to recent reports, energy giant Shell is withdrawing from Russia and stopping buying oil and gas from Moscow. The company announced that it would end all purchases of Russian oil and gas, while also closing other operations in the country. Not only that, it also includes dropping its joint venture with Gazprom, the Russian natural gas giant. Additionally, in an update to shareholders, the company said the move would cost them about $4 billion to $5 billion in the first quarter alone.
The global fast-food giant recently said in a statement that it plans to sell its Russian business to a local licensee which indeed includes around 850 restaurants, as it begins a full exit from said country, leading to a radiation somewhere. approximately $1.2 to $1.4 billion. The company announced in March that it would temporarily close its 850 sites and halt operations in Russia.
Airbnb, as you may already know, is an American company known for operating an online marketplace for primarily homestay accommodation for vacation rentals as well as tourism activities. Just recently, Airbnb joined the list of companies that pulled out of Russia and suspended all operations in Russia and Belarus, meaning no new bookings would be made and calendars were blocked for these locations.
Just like several others, Google also suspended its services in Russia amid the war. Google also notified Android developers in March that Play Store users would no longer be able to purchase games, apps and subscriptions as well as IAPs. Additionally, Google has also confirmed that Russians are having problems accessing the news aggregation service, Google News in said country. Apart from this, several other services like Google Maps and other services have also been retired.
Joining the list we have Bloomberg which has also suspended its operations in Belarus as well as Russia, thereby cutting the countries off from all products and services the platform offers, including its popular e-commerce platforms. The move was recognized after the company pulled journalists out of Russia last month.
The popular online streaming platform is known to have suspended its services in Russia in protest against the country’s large-scale invasion of Ukraine. Additionally, Netflix also recently announced that it will be pausing all future projects as well as acquisitions from Russia, joining a growing list of companies that may have severed ties with the said country. Know that the company made this decision knowing that it had about a million subscribers in Russia itself!
The world’s largest cafe chain has also announced that it will soon close its 130 stores in Russia, where it is known to have around 2,000 employees. The exit follows the announcement in March of the suspension of all its in-store operations. Be aware that its sites in Russia are owned and operated by the Kuwaiti conglomerate Alshaya Group.
One of the world’s leading global payments and technology companies has also decided to suspend all operations in Russia. Not only that, it will prevent cards issued by Russian banks from working in other countries and will also prevent people with cards issued elsewhere from buying goods and services from businesses in Russia.
The American multinational specializing specifically in payment card services has also joined the long list of companies leaving Russia amid the war in Ukraine and is known to have suspended all operations in the country, which surely could be embarrassing for the people. As a result, American Express would no longer operate at merchants or ATMs in Russia.
The world’s largest food and beverage company, which boasts more than 2,000 brands ranging from global icons to local favorites, has suspended sales of “the vast majority of its volume of pre-war products in Russia, including the coffee, pet food, candy sold under KitKat as well as Nesquik brands.In addition to this, the company has also halted “non-essential” imports and exports to and from Russia permanently, alongside the advertising and capital investments of course.
Billing itself as the world’s third-largest brewer, Carlsberg also halted its investments and would stop selling its flagship beer brand in Russia before finally announcing a full divestment from said country, resulting in a charge of around $1.4 billion. Additionally, the company’s Baltika Breweries unit, based in St. Petersburg, is said to be the Russian market leader.
Visa is simply a company known for facilitating electronic funds transfers around the world, most often using Visa-branded debit and credit cards. According to reports, Visa is expected to cease all dealings in Russia, saying in a statement, “this war and the continuing threat to peace and stability demands that we respond in accordance with our values.”
On March 3, the company announced that it would also suspend all major operations at all of its stores in Russia, joining several other Western brands that did so following Moscow’s invasion of Ukraine. For reference, Nike has around 100 stores in the Russian Federation, so that would surely be a huge loss!
Unilever, for some of you who don’t know, is a British multinational consumer goods company based in the UK. It’s one of those companies that is focused on meeting people’s everyday needs, whether it’s hygiene, nutrition or even personal care with brands that help people feel good, to look good and get the most out of life, as they claim! In March this year, Unilever decided to halt Russian exports but maintain essential food supplies. Not only that, Unilever has also halted its investments in the country and will stop advertising and media suspension.
Reading this far I hope you must have had a good overview of some of the companies that have suspended operations in Russia in regards to the war in Ukraine and I think by now you would have been able to understand and make up your mind. as to whether or not it was the right thing to do for these companies. As well, keep in mind that these are just a few of the best companies out of a whole bunch of companies from various industries that have done the exact same thing!
In conclusion, what do you think of the list of companies that have ceased operations in Russia? Let us know in the comments box below. To learn more about the different cryptocurrencies, check out the other articles we have on our website. Thank you for your time and if you found our content informative, please share it with your investing friends!
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