Major global beer brands have announced that they are withdrawing and halting business plans in Russia this month, as more companies dash for the exit as Russian invasion into Ukraine turns into a costly affair for companies.
The Dutch beer brewery Heineken announced that it has stopped the production and sale of its own brand beer in Russia, and halted all new investments and exports of other brands to the market, in response to Russia’s invasion into Ukraine.
Similarly, Carlsberg AS also said that it’s halting new investments in Russia as well as exports to the country from other Carlsberg companies.
Meanwhile, the world’s largest brewery AB-inBev, producer of Budweiser, also announced that it will forfeit any profits from a joint venture formed with a Turkish company to produce a range of drinks in Russia. AB-inBev’s brands include Budweiser, Corona Extra, Hoegaarden and among others.
American Canadian company Molson Coors Beverage Co also said it would suspend exports to the market and halt licensing as well. The company owns Milwaukee-based Miller beer brand.
Russia’s invasion on February 24 promoted a wave of pulling out from western companies. From luxury brands to oil companies, companies operating in Russia subsequently severed ties with Kremlin as sanctions bite in.
It’s also reported that a French winery owners are also buying back Russian stakes as a protest to Russia’s invasion.