FX.co ★ 7 Western companies to be hit hardest by anti-Russian sanctions

BASF

Today, this German company is considered the world's largest chemical concern. BASF has 12 production sites on the territory of Russia. In addition, BASF owns a stake in Wintershall Dea, an oil and gas company, which was Gazprom's key European partner until recently. In particular, Wintershall Dea financed the Nord Stream 2 gas pipeline project designed to double the flow of Russian gas direct to Germany. Recently, the company's management has announced that it will write down investments in Nord Stream 2 and abandon the implementation of new oil and gas projects in Russia.

BP

Prior to the start of Russia’s special operation in Ukraine, BP was the largest foreign investor in Russia. The company owned a 20% stake in Russian state-owned energy giant Rosneft. However, in response to Russia's invasion of Ukraine, the British firm said that it would exit its shareholding in Rosneft estimated at about $14 billion. Following the announcement of this decision, BP shares plunged by 7.5%.

Coca-Cola HBC

This company is part of the Coca-Cola System and bottles the legendary carbonated soft drink across Central and Eastern Europe. According to the management of Coca-Cola HBC, the firm generated about 20% of 2021 volumes and operating profit from both Russia and Ukraine. Due to Russia’s military operation in Ukraine, the company has already stopped production at its plants located in this region, announcing that it is also leaving the Russian market.

TotalEnergies

French oil giant TotalEnergies is also one of the largest investors in the Russian market. It is a shareholder in a number of Russian companies: Novatek (19.4%), Yamal LNG (20%), and Arctic LNG-2 (21.6%). In addition, TotalEnergies holds stakes in several Russian firms focusing on renewable energy and the chemical industry. The management of the French energy giant stated that it would not halt business in Russia. At the same time, it would not provide capital to any new projects in the country.

Shell

Energy giant Shell is going to exit joint ventures with Gazprom as well. The company owns almost 28% of the Sakhalin-2 liquefied natural gas project, which has an annual capacity of 10.9 million tons. The British-Dutch firm said it would stop buying Russian crude oil and close all its service stations in the country.

ExxonMobil

Likewise, the largest US oil corporation announced its complete withdrawal from the Russian market. ExxonMobil has more than 1,000 employees in Russia and has been in the country for over 25 years. Nevertheless, the American oil giant decided to pull out of managing large oil and gas production facilities on Sakhalin Island in Russia's Far East. According to experts, its loss will amount to over $4 billion.

McDonald's

The world's largest fast-food restaurant chain also stated that it would temporarily close all 850 of its locations in Russia. At the same time, the company’s management added that it would continue paying 62,000 employees. According to economists, such measures will cost the fast-food chain about $50 million a month.