BERLIN, April 27. /TASS/. Germany’s BASF, a major global chemical company, will wind down its remaining activities in Russia and Belarus, except the business related to food production, by the start of July over the events in Ukraine, the company said in a statement on Wednesday.
The company said on March 3 it wasn’t conducting any new operations in Russia and Belarus because of the situation in Ukraine.
"The board of executive directors of BASF SE has now decided to also wind down the company’s remaining business activities in Russia and Belarus by the beginning of July 2022," the statement said. Exempt from this decision is business to support food production, as the situation in Ukraine risks triggering a global food crisis, according to the statement. This decision, the company said, is driven by the recent developments of the events in Ukraine and in international law, including the fifth EU sanctions package with respect to Russia.
Currently, 684 employees work for BASF in Russia and in Belarus. The company has decided to continue to support its employees in both countries through the end of 2022. Detailed plans for an orderly cessation of BASF’s business in Russia and Belarus are currently being developed. In 2021, Russia and Belarus accounted for around 1% of BASF Group’s total sales.
On February 24, Russian President Vladimir Putin announced a special military operation in response to a request for help by the heads of the Donbass republics. He stressed that Moscow had no plans of occupying Ukrainian territories. Afterward, the US, EU, UK and some other countries imposed sanctions on Russian individuals and industries, including on government debt and the banking sector. In addition, some private companies decided to suspend operations in Russia or quit Russian projects altogether.