Companies

Nike to fully exit Russia

Jun 28, 2022 United States

Following Russia's invasion of Ukraine, the US-based sportswear giant halted operations in the country. But now has decided to leave the Russian marketplace for good

"Nike has made the decision to leave the Russian marketplace. Our priority is to ensure we are fully supporting our employees while we responsibly scale down our operations over the coming months", said the company in an emailed statement to Reuters, joining other Western brands, such as McDonald's and Renault, which are also cutting ties completely with the country.

The company had announced on the 3^rd of March that it would temporarily suspend operations in its owned-stores and through the digital channel in Russia, while some stores owned by local partners would continue to trade. However, the prospect of the introduction of new laws that will allow Moscow to seize assets of companies that have suspended businesses in the country has accelerated Nike's departure.

The move is not expected to impact the company's trading results, as less than 1% of its revenue comes from Ukraine and Russia combined, but it is highly symbolic: throughout its history, the company has taken stands on several social and political issues.

Image Credits: frontofficesports.com

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