US-based company says it won't cut all ties with Russia
American consumer goods company Procter & Gamble (P&G) has announced it would reduce the number of products sold in Russia and discontinue all new investments in the country but it would not pull out of the Russian market entirely.
In a letter to employees on Monday, CEO Jon Moeller said P&G would “continue to support” the people of Russia and its employees in the country, but that Russia’s conflict with Ukraine – and the subsequent sanctions against Russia from the West – would require the implementation of “important changes immediately and over time.”
“We have discontinued all new capital investments in Russia and are suspending all media, advertising, and promotional activity,” Moeller revealed, adding that the company would also be “significantly reducing” its Russian product portfolio.
Despite this, Moeller announced that P&G would continue to produce “basic health, hygiene and personal care items needed by the many Russian families who depend on them in their daily lives.”
While many Western companies have pulled out of Russia entirely amid Moscow’s conflict with Ukraine, several large companies have continued to operate, including Coca-Cola, Pepsi, McDonald’s, and Japanese clothing retailer Uniqlo.
Tadashi Yanai, the CEO of Uniqlo parent company Fast Retailing Co., defended his company’s decision to continue operation in Russia, arguing that Russians have “the same right to live” as everyone else and that clothing is “a necessity of life.”