MARCH 7 (Reuters) – Fast Retailing, owner of Uniqlo (9983.T) It will keep its stores in Russia open, joining a small group of international companies that persist even as dozens of major brands temporarily close operations or exit the country due to their invasion of Ukraine.
Political pressure is mounting on companies to halt business in Russia, while operations have also been complicated by sweeping sanctions affecting everything from global payment systems to a range of high-tech products.
Boeing Company (ban) On Monday, it said it had suspended buying titanium from Russia, because it had enough supplies to produce the planes, while European rival Airbus (AIR.PA) She said she gets titanium from Russia and other countries under sanctions. Read more
Big shippers have blocked container routes to and from Russia and many Western companies, from home furnishings giant Nike Inc and Ikea to energy majors BP and Shell. (sigh)or closed a store or announced plans to move out of the country.
Dutch tech investor Prosus (PRX.AS) It will write off a $700 million stake in the Moscow-based online platform VK Group, known as the social network VKontakte, Russia’s response to Facebook. Vladimir Kirienko, CEO of the VK Group, was added to the US sanctions list after the Russian invasion of Ukraine. Read more
A company spokesperson told Reuters the company had not noticed any noticeable impact on supply chain or logistics in Russia, where Uniqlo has 49 stores.
“Clothes are a necessity for life. The Russian people have the same right to live as us,” said Japan-based Fast Retailing CEO Tadashi Yanai, in remarks first published by Nikkei, adding that every country should oppose war.
In contrast, Levi Strauss & Co Follow Favorite It suspended its Russian operations, including any new investments.
Some American companies continue to operate in Russia, including McDonald’s (MCD.N) and PepsiCo Inc (PEP.O), prompting the New York State Pension Fund – one of the pair’s contributors – to urge them and others to consider temporarily halting their operations there. Read more
The conflict could create opportunities, sources said, likely including Europe’s scrapping of a ban on several Brazilian meatpacking companies imposed in 2018 after a scandal in the food sector.
“The (Brazilian) industry is ready to fill in the gaps and support food security for countries that may be in short supply due to the possible suspension or reduction of chicken and pork exports from Russia and Ukraine,” said Ricardo Santin, head of the Meat Lobby. ABPA.
ABPA, which represents companies including JBS (JBSS3.SA) and BRF (BRFS3.SA) In Brazil, the world’s largest exporter of chicken meat, Russia and Ukraine are competing with the Brazilians in important markets in Asia, the Middle East and Europe. Read more
Major global companies continue to join the exit from Russia. The Big Four accounting firms KPMG, PwC, EY and Deloitte moved one after another to cut ties with Russia, as did credit card company American Express. (AXP.N).
The Vanguard Group mutual fund manager said Monday that the Vanguard Group has halted purchases of Russian securities from its actively managed funds. Read more
Dairy cooperative Arla Foods, Danone French yogurt maker (DANO.PA) And the Belgian chemical group Solvay (SOLB.BR) It also suspended operations or investment in the country, while automaker Nissan was quoted by RIA Novosti news agency as saying it would halt production at its St Petersburg plant. Read more
Russia announced new “humanitarian corridors” on Monday to transport Ukrainians trapped under its bombardment – to Russia itself and its ally Belarus, in a move Kyiv immediately denounced as an immoral act. Read more
Russia described the February 24 campaign as a “special military operation”. It denies attacking civilian areas and says it has no plans to occupy Ukraine.
After Russian President Vladimir Putin signed a new media law on Friday, Chinese video app TikTok said it would suspend live broadcasts and upload videos to its platform in Russia. Read more
Unprovoked attack
Several companies strongly condemned Russia’s actions as they suspended their services in the country.
“In light of the ongoing and unprovoked Russian attack on the people of Ukraine, American Express is suspending all operations in Russia,” AMEX said on its website. Read more
A spokesperson for Netflix, which has already paused future projects and acquisitions in Russia, said it had suspended its service “due to the situation on the ground.” Read more
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Additional reporting by Akriti Sharma, Kannaki Deka and Pratima Desai in Bengaluru, Tim Hever in Paris; Chris Gallagher in Washington, D.C., Rocky Swift in Tokyo, Toby Sterling in Amsterdam and Promette Mukherjee in Johannesburg; Nayara Figueiredo in São Paulo; Ross Kerber in Boston; Written by Anna Driver, Sayantani Ghosh, and Peter Henderson; Editing by Diane Craft, Kirsten Donovan, Bernadette Bohm, Susan Fenton and Nick Ziminsky
Our criteria: Thomson Reuters Trust Principles.
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