Key facts
- Russia has placed assets of European firms Nestle, Metro AG, and Auchan under temporary management.
- The Kremlin accused the EU of increasing involvement in direct battlefield hostilities against Russia.
- Russian Foreign Minister Sergei Lavrov stated that Europe is waging war against Russia.
- The EU has frozen approximately €210 billion ($238 billion) of Russian sovereign assets.
- Since the start of the war, Russia has introduced temporary administration at 135 firms affiliated with foreign companies, mostly from EU countries.
Russia has intensified its crackdown on foreign-owned assets, specifically targeting European firms with measures to strip owners of management rights over their Russian holdings. This move, described by a senior government source as "asymmetric measures" to make European companies "scared," comes amid escalating tensions and accusations from Moscow that the European Union is increasingly involved in the war in Ukraine.
This month, Russia placed the assets of Swiss food giant Nestle, German wholesaler Metro AG, and French retailer Auchan under temporary management. A Russian corporate source accused European firms of deliberately hindering the development of their Russian units, thereby harming the Russian economy.
The Kremlin stated that these decisions were driven by the EU's "increasing level of involvement of these unfriendly countries in direct battlefield hostilities" against Russia. However, Kremlin spokesman Dmitry Peskov suggested the moves were "reversible," though he indicated no grounds for reversal were currently apparent without dialogue.
Foreign Minister Sergei Lavrov asserted that Europe is waging war against Russia, citing the use of Western weapons against Russian forces and the provision of targeting and intelligence information. Russia also criticizes the EU for freezing approximately €210 billion ($238 billion) of its sovereign assets and targeting Russian companies' assets in response to the war.
Since the conflict began, Russia has implemented temporary administration at 135 firms linked to foreign companies, predominantly from EU countries, including Danone and Carlsberg. Prior to these latest actions, a Russian law firm noted 22 Western firms had been affected. The Association of European Businesses reported 330 member companies operating in Russia, down from 400 a year prior.
No major US companies have faced similar measures, though some smaller entities, like US private equity fund NCH Capital, have been placed under temporary administration. Around 300 US companies remain operational in Russia, with ongoing discussions between Russia and the US regarding business opportunities post-conflict.