Major Manufacturers Close Ukraine Operations Amid Russia Invasion

Carlsberg, Mondelez, Nestle, Sumitomo Electric and ArcelorMittal are among companies that have paused or substantially reduced production.

A metallurgical plant is seen on the outskirts of the city of Mariupol, Ukraine on Feb. 24, 2022.
A metallurgical plant is seen on the outskirts of the city of Mariupol, Ukraine on Feb. 24, 2022.
AP Photo/Sergei Grits

With Russian forces occupying Ukraine as of the early morning of Feb. 24, certain manufacturers there have reportedly closed operations.

Reuters and CNN report that Danish brewing giant Carlsberg, Nestle, Mondelez International, a Coca-Cola bottling company, Japanese auto maker Sumitomo Electric, steel maker ArcelorMittal and Japan Tobacco have all shut down operations. They join logistics providers UPS and FedEx and a number of airlines that have suspended services in and out of the country.

Carlsberg is the second-largest brewer in Ukraine, holding a 31 percent market share. It has paused operations at all three of its breweries, which are in Kyiv, Zaporizhzhya and Lviv.

A Carlsberg spokesperson was quoted saying the company has taken "several initiatives in Ukraine with the aim of taking care of the safety of our employees in the country," those initiatives reportedly include them employees at home.

Bottler Coca-Cola HBC has reportedly closed its plant in Ukraine, with CNN noting the company has asked staff in the country to remain at home.

Reuters said that Sumitomo Electric, which has about 6,000 Ukraine employees, told the news outlet that its operations were suspended there as of Friday and is in talks with clients about possibly substituting supplies from other countries.

CNN reported that Mondelez will shut down its Ukraine factories if tensions with Russia “become too dangerous.”

"To make sure those people are safe ... that's the number one concern," Van de Put told CNN. "We have big business in both countries. If that means we have to close plants because it is too dangerous, we will do so."

A Nestle spokeperson told CNN that the company has temporarily closed its production and supply chain facilities in Ukraine and has advised workers to stay home.

ArcelorMittal Tweeted Thursday that it has reduced operations at its major plant there to “a technical minimum” and that and production would be stopped at its underground mines. 

Japan Tobacco, meanwhile, has closed its cigarette plant in Kremenchuck.

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