ABB to exit Russian market
ABB has decided to exit the Russian market due to the ongoing war in Ukraine and impact of related international sanctions.
The company says that the financial impact in the second quarter amounted to USD -57 million of which USD -23 million will impact cash flow in the third quarter.
When the war broke out, ABB stopped taking new orders in Russia. At the same time, it has been fulfilling a small number of existing contractual obligations with local customers, in compliance with applicable sanctions, a press release reads.
Most of the company's Russian workforce has been on leave since March of this year and the company will do its best to support them as it realigns its operations in a controlled manner. ABB has about 750 people in Russia and two production sites in the country located in the Moscow region and Lipetsk, as well as several service centers.