Two of the biggest brands to leave Russia after its invasion of Ukraine do not seem ready to stage a return.
President Donald Trump said the United States could reconcile with Russia, which could allow Western businesses to reintegrate the market. This has stimulated speculation in the Russian media on companies that could return and in the circumstances.
In March, the Ukrainian Defense Defense Group B4ukraine Coalition contacted several Western countries, including Coca-Cola and McDonald's. In correspondence with the group, the leaders of the two companies said they were planning to stay outside Russia.
In the group's letter to McDonald's, the B4ukraine Coalition underlined the comments in the local media of the political analyst Vadim Siprov, who declared in mid-February that McDonald's could return by the end of the year.
McDonald's sticks to the principles that guided his decision to leave Russia in 2022, the company said in its response in March. The organization has published the letter from McDonald's online.
In 2022, McDonald's assessed the five questions: if it is legal to operate in the country, that he has the freedom to manage his activities, if his presence is useful for his brand, if staying aligns with his values and if that has a good sense.
“The principles behind these questions, which guided our decision to” disart “a major market and sell our portfolio of McDonald's restaurants, are still applying today,” wrote Jon Banner, director of the global impact of the fast food giant.
In 2022, “the answer to each of these questions was no,” wrote Banner.
Meanwhile, Coca-Cola declared in an e-mail response at the end of March to the Ukrainian group that “sanction regimes and other legal obstacles” are preparing for any return to the Russian market.
McDonald's and Coca-Cola did not respond to requests for comments from Business Insider.
“A price to pay for past decisions”
Russia said in February that it was not in a hurry to receive Western companies that had left the country during his war in Ukraine.
“We are not expecting no one with open arms. There will be a price to pay for previous decisions,” said Anton Alikhanov, the Minister of Russian and trade in February, to journalists, according to the TASS press agency.
Three years after the start of the war in Ukraine, nearly 475 foreign companies have completely left the Russian market, according to the Leave Russia database of the kyiv School of Economics. Those who have made a full outing include McDonald's, Starbucks, Ikea, The British Energy Giant Shell and the manufacturer of Japanese tires Bridgestone.
Alikhanov also said that Russia prioritizes national brands instead of waiting for foreign brands to return.
Analysts have said that companies are likely to be careful to return to the country even if sanctions are lifted.
The Russian War Economy is faced with several problems, including high inflation, volatility of currencies and high interest rates. The Ironclad reign of Putin also has concerns about the rule of law and security.
