Russian invasion of Ukraine: How Toyota, Ikea and other companies are responding
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Major international corporations that have operations in Russia and Ukraine are keeping a watchful eye as the conflict progresses, with some even shuttering facilities.
Toyota Motor Corp. told FOX Business on Thursday that the company is temporarily shutting down all its Ukraine dealerships through Friday. Between Toyota and Lexus, the company has 37 dealerships in Ukraine. Its plant in St. Petersburg, Russia, "is currently maintaining normal operations," Toyota said.
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The company declined to give further details on the matter, but said it's monitoring the situation "while keeping the safety and well-being of our employees and their families as a top priority."
A line of cars is seen at one of the local gas stations, Kyiv, capital of Ukraine. (Yevhen Kotenko/ Ukrinform/Future Publishing via Getty Images / Getty Images)
The company has just over 2,600 employees in Russia, including both at the St. Petersburg manufacturing facility and the sales office in Moscow.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| TM | TOYOTA MOTOR CORP. | 172.84 | -0.64 | -0.37% |
Ingka Group, which operates Ikea stores worldwide, said the recently declared sanctions will impede its operations, although the company declined to elaborate on the extent of the impact.
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"Ingka Group has a long-term engagement with our customers, co-workers and suppliers both in Russia and Ukraine," the company said in a statement to FOX Business. "The declared sanctions will affect all international companies, including Ingka Group."
In the meantime, the company says it's focused on the safety and security of its workers.
"We are doing our utmost to support them at this time," Ingka Group said.
In Russia, the company has roughly 10,000 employees, 14 Ikea retail stores and nine planning studios. In Ukraine, Ingka Group has one store in Kyiv in addition to e-commerce. It has a total of around 400 employees.
Residents seeking to leave the capital are stuck in traffic on a highway in Kyiv, Ukraine, on Thursday, Feb. 24, 2022. (Ethan Swope/Bloomberg via Getty Images / Getty Images)
Meanwhile, Nestlé told FOX Business that its six factories in Russia, which are geared toward pet food, coffee, confectionery and infant nutrition sales, are still running normal operations. It also has "business continuity plans in place to ensure the continued supply of our products to consumers," a company spokesperson told FOX Business.
"Nestlé’s products have been present in Russia for over 150 years," the spokesperson said. "Over 90% of our products sold in Russia are locally produced and our business is focused on supplying consumers in the country."
The company is also "focused on the safety and protection" of its employees.
Flame and smoke rise from the debris of a privet house in the aftermath of Russian shelling outside Kyiv, Ukraine, Thursday, Feb. 24, 2022. (AP Photo/Efrem Lukatsky / AP Newsroom)
Tobacco company Philip Morris International Inc., is also temporarily suspending its operations in Ukraine.
The company, which has one factory in Kharkiv and over 1,300 employees in Ukraine, said Friday that it "has contingency plans in place to restart the supply of products once safe conditions allow."
Philip Morris International CEO Jacek Olczak said the "safety and security of our colleagues and their families is our primary concern." The employees are being advised to "stay at home or in any safe place and follow instructions from local authorities" while the company continues to monitor the situation, he added.
Representatives for Volkswagen did not immediately respond to FOX Business' request for comment. The carmaker told Reuters that the "degree of impact on our business activities in the affected countries is continuously determined."
"Regarding all activities on site, the safety and integrity of our employees is our top priority," the company said in a statement to Reuters.