Minister of Economic Development Invites Foreign Companies to Invest in Russia

Foreign investors interested in the Russian market are now presented with new opportunities and promising prospects, particularly in sectors focused on domestic demand – such as housing and utilities, food production, domestic tourism, culture, and sport. This was stated by Russia’s Minister of Economic Development, Maksim Reshetnikov, on 7 April during the Annual Investment Meeting (AIM Congress 2025) held in Abu Dhabi, UAE.

Consultants Report Arrival of a Few Western Brands in Russia in 2025

The pace at which new brands entered the Russian market halved in the first quarter of 2025 compared to the same period last year. While domestic companies dominate among the newcomers, several foreign brands have also appeared. This is according to Russian consulting firm Commonwealth Partnership (CMWP).

Luxury Brands Abandon Part of Their Boutiques in Russia

French fashion houses Christian Dior and Hermès, along with Italy’s Prada Group, have decided to permanently close some of their boutiques in Moscow and St Petersburg, according to annexes to the 2024 financial statements of their Russian subsidiaries, RBC reports.

Foreign Firms Explore Resuming Advertising on Russian Television

Western firms that were once among Russia’s top advertisers before 2021 and suspended their marketing activity in 2022 are now reaching out to the National Advertising Alliance (NAA) to enquire about current advertising conditions on federal TV channels, Vedomosti reports, citing sources at two major advertising groups. Similar enquiries from South Korean companies were also noted by two other advertising agencies. The NAA, is one of the key players in the Russian media advertising market, and controls over 90% of TV advertising sales in Russia.

Russian Constitutional Court Was Asked to Clarify Anti-Suit Injunctions From the APC (Arbitrazh Procedure Code)

German company OWH (formerly VTB’s European subsidiary, now under external administration by German regulators due to EU sanctions against VTB) has filed a complaint with Russia’s Constitutional Court regarding the application of Articles 248.1 and 248.2 of the Arbitrazh Procedure Code. These articles establish Russian abitrazh [commercial] courts’ exclusive jurisdiction in disputes involving sanctioned entities and permit Russian courts to prohibit foreign court or arbitral proceedings against such entities. The Constitutional Court is currently conducting a preliminary review of the complaint, according to the court’s electronic database.

AmCham has assessed the prospects for Western companies returning to Russia

Approximately 150 “purely American” companies continue to operate in Russia, roughly the same number have left, and about 50 former American companies have been transferred to Russian ownership. These estimates were provided in a March interview with RBC by Robert Agee, the president of the American Chamber of Commerce in Russia (AmCham Russia) since 2021.   The remaining Western companies are operating in difficult conditions: US sanctions prohibit them from making new investments in Russia, and there are difficulties with payments and logistics, Agee said. However, if the geopolitical situation stabilises, 4-5 companies (presumably from the FMCG, “fast-moving consumer goods” sector) could return to Russia as early as this year – provided that “they can find a place in the market”, Agee predicted.

Russian Finance Ministry Tightens Rules for Foreign Exit from Russian Business

The Russian Ministry of Finance has halved the validity period of asset valuation reports required for approving buyout deals from foreign investors – from six months to three months. Now, no more than three months may pass between the preparation of a valuation report and the meeting of the relevant sub-commission under the Ministry of Finance, RBC has learned.

Ariston to Continue Operations in Russia After End of Temporary Management

Italian manufacturer of heating and hot water solutions, Ariston, will continue operations in Russia, regaining control of its Russian subsidiary, LLC Ariston Thermo Rus, after President Vladimir Putin annulled the decision to place the company under temporary management by Gazprom Household Systems. Ariston Group announced this in a press release. The decree cancelling the transfer of Ariston’s Russian assets to temporary management was published on 26 March.

Kept Estimates How Many Companies from Unfriendly Countries Remain in Russia

Around one-third of foreign companies from so-called unfriendly countries are still operating in Russia, while 62% of companies have left the market since the start of the military actions in Ukraine as of the end of 2024, RBC reports, citing data from the audit and consulting firm Kept.

Which Western Companies Are Unlikely to Return to Russia

Putin Allows Several Western Funds to Sell Russian Securities

The American firm 683 Capital Partners has been granted permission to purchase securities in Russian companies that are currently owned by legal entities from the USA and the UK.

What Legislative Changes Are Needed for the Return of Foreign Businesses to Russia

The return of foreign business to Russia involves an even more complex set of political, legal, and organisational measures than their exit.

Federation Council Committee on Economic Policy Proposes Conditions for the Return of Western Carmakers to Russia – Localisation and Technology Transfer Required

Senators have outlined conditions for the return of Western automotive manufacturers to Russia, stating they must share production and development technologies.

Russian Authorities Developing Rules for the Return of Foreign Companies

The return of foreign companies to Russia is only possible with approval from the relevant ministry

Chinese Engine Manufacturer Enters Russian Market  

The developer and manufacturer of power equipment Alfa Balt Engineering and Chinese engine producer Yuchai plan to establish a joint venture to produce diesel and gas generators in St Petersburg, Vedomosti reports, citing two sources familiar with the negotiations. The investment in the project is expected to be around 5 billion roubles.

French Infrastructure Holding Vinci Exits Russia

  Natsproyektstroy has acquired the stake of Vinci S.A. in North-Western Concession Company LLC (Северо-Западная концессионная компания, or SZCC), RBC reports, citing a source familiar with the companies’ negotiations, which was confirmed by another source.

Government Approval Required for the Return of Foreign Companies to Russia

Regional Agencies Propose Criteria for Assessing the Quality of Investments by Departed Foreign Companies

The National Association of Investment and Development Agencies (NAAIR) has submitted proposals to the Ministry of Economic Development and the Russian Union of Industrialists and Entrepreneurs (RSPP) outlining criteria for evaluating the quality of direct foreign investment in Russia. NAAIR brings together around 75 regional institutions involved in attracting investment and promoting economic development across various Russian regions.

Lawyers Discuss Private Asset Swaps Between Russians and Foreigners

$ $ Russian and European companies are negotiating private exchanges of blocked assets held on both sides, although the number of such deals remains small – in part due to the need for regulatory approval, lawyers report. In such transactions, professional participants in the securities market aim to unblock either their own assets or those of their clients.

VSMPO-Avisma Shares Surge on Speculation Boeing May Resume Titanium Purchases from Russia

The market capitalisation of VSMPO-Avisma, one of the world’s largest producers of titanium products, rose by 30% over the course of a week (as of 21 February), amid reports that Boeing may resume purchases of Russian titanium.

Samsung Increases Marketing Activity in Russia

In January-February 2025, Samsung increased its marketing activity in Russia by 30% compared to the same period in 2024, Kommersant reports, citing data from the information and analytics agency TelecomDaily.

EU Expects European Companies to Exit Russia by the End of 2025

Requirements for Localisation and Investment Will Change for Foreign Companies Returning to Russia – Ministry of Economic Development

Viktor Orbán’s Son-in-Law Reportedly Interested in Buying Raiffeisenbank in Russia

Renault Considering Return to Russia

Unclaimed Dividends of Foreign Companies May Be Reclaimed

RDIF Head Estimates US Business Losses from Exit from Russia at $300 Billion

 American businesses have lost $300 billion due to their decision to leave the Russian market.

Exit of Foreign Companies from Russia Slowed in 2024

In 2024, the total value of transactions involving the exit of foreign companies from Russian assets amounted to $3.4 billion, compared with $11.1 billion in 2023, according to estimates by the AK&M agency. The number of deals also fell – from 97 in 2023 to 58 in 2024, analysts noted. 

Russian Lobbyists Invite Western Consumer Brands to Return

The Union of Shopping Centres sent invitations to Uniqlo, H&M, and Inditex (the latter owns the brands Zara, Massimo Dutti, Bershka, Pull & Bear, and others) with a proposal to return to the Russian market.

German EOS Drops Plan to Sell Russian Debt Collection Business to Gazprombank

German EOS Group, which owns one of the largest debt collection companies in Russia, has backed out of a deal to sell its Russian subsidiary to entities affiliated with Gazprombank (GPB), according to RBC, citing two financial market sources. One of the sources said negotiations had been ongoing since at least autumn 2024 but have now ceased.

Alcohol Producer Amber Talvis Files Claim Against Former Luxembourg Shareholder

Amber Talvis JSC, one of Russia’s largest alcohol producers, has filed a claim in the Arbitrazh Court of the Tambov Region against its former owner, Luxembourg-based Amber Beverage Group Holding. The claim was lodged on 28 April, according to the court’s online case register. The statement of claim has not been published.

Rosatom files RUB 228 billion claim against Finnish companies Fortum and Outokumpu

Entities of the state corporation Rosatom – JSC TVEL, JSC Rusatom Energy International, and RAOS Projects Oy – have filed a claim in the Moscow Arbitrazh Court against Finnish companies Fortum (an energy holding) and Outokumpu (a steel manufacturer). They are demanding RUB 227.8 billion from their former partners, according to the arbitrazh case database.

Study shows rise in foreign business trademark registration activity

In 2024, the number of applications for registration of foreign trademarks in Russia rose by approximately 13% compared to 2023, and by 18% compared to the “pre-sanction” level of 2020, according to materials from VTB Bank published on 6 May. Citing the results of a joint study by VTB and the company “Online Patent”, the bank reported that after a drop in 2022 (to 7,600), the number of trademark applications by foreign companies and individuals to Rospatent increased to 11,800 in 2024.

Western businesses consulting lawyers on resuming operations in Russia if US sanctions ease

Western commodity traders, insurers, and shipping companies are consulting with legal experts about the possibility of resuming operations in Russia if US sanctions are lifted. This was reported by the British newspaper the Financial Times (FT) on 30 April.

American Oracle announces continued negotiations over debt buyout in Russia

The American IT company Oracle remains interested in resolving the debt dispute involving its Russian subsidiary, Oracle Computer Hardware, which has been undergoing bankruptcy proceedings since August 2023. A representative of Oracle told RBC that the company is open to dialogue based on its initial proposal to purchase creditors’ claims, which was made in autumn 2024.

Deputies propose restricting buyback of shares by foreign companies that exited Russia

The State Duma Committee on Property, Land and Property Relations has drafted amendments to the law “On Foreign Investments in the Russian Federation” that would allow Russia to block a foreign company from buying back shares in a Russian enterprise if the enterprise plays a significant role in the country’s socio-economic development. This was reported by Izvestia on 29 April, citing the draft legislation.

Raiffeisen Bank denies FT report on halting sale of its Russian subsidiary

Austria’s Raiffeisen Bank International (RBI) has not halted the process of selling its Russian subsidiary, Raiffeisenbank. This was reported by RBC on 18 April, citing the bank’s press service. “The sale process is ongoing”, the RBI statement reads.

Dubai company acquires part of Glencore’s stake in RussNeft

OCN International DMCC, a company registered in Dubai (United Arab Emirates), has acquired a 16.33% stake in Russian oil company RussNeft, Russian media reported on 23 April, citing data from the corporate disclosure centre website. Details of the transaction have not been disclosed. According to an RBC source, the new shareholder acquired part of the stake previously held by Swiss commodity trader Glencore.

Russian government approves draft of new investment protection agreement with China

On 22 April 2025, Prime Minister Mikhail Mishustin signed an order instructing the Ministry of Economic Development to finalise negotiations with China and sign a new agreement between Russia and the PRC on the promotion and mutual protection of investments. The draft agreement has been published on the official legal information portal. There have been no comments from the Chinese side. The existing Russia–China investment agreement was signed in 2006 and ratified by Moscow in 2009. It will automatically cease to be in effect once the new agreement enters into force. However, for investments made prior to the new agreement’s entry into force, the current treaty will remain applicable for a period of three years.

Two more foreign companies sell their businesses in Russia

Belgian developer Ghelamco has sold its only asset in Russia – a warehouse complex in Dmitrov, Moscow Region, with a total area of 243,000 sq. m, Vedomosti reported on 21 April, citing informed sources. All necessary approvals from the government commission were obtained, one source told the newspaper. The exact buyer of the warehouse remains unknown, but a source close to Ghelamco said, “all signs suggest it is the investment company Central Properties.” RBC also reported in March 2024 that Central Properties was likely to acquire Ghelamco’s warehouse complex.

Foreign companies reconsider staying on the Russian market

Several foreign companies that had previously planned to exit the Russian market are now showing “moderate interest” in continuing operations in Russia, the Financial Times reported, citing unnamed sources.

General Prosecutor’s Office seeks anti-suit injunction to halt Wintershall arbitration against Russia abroad

Russian authorities, represented by the General Prosecutor’s Office (authorised since 2021 to represent the Russian Federation in foreign courts and arbitrations), have filed a claim with the Moscow Arbitrazh Court seeking to prohibit the continuation of arbitration proceedings initiated by German company Wintershall Dea against Russia at the Permanent Court of Arbitration (PCA) in The Hague. The anti-suit injunction, filed under Article 248.2 of the Arbitrazh Procedure Code (APC), is directed at Wintershall Dea as well as the three arbitrators appointed to hear the case: Charles Poncet, Olufunke Adekoya, and Hamid Gharavi.

RSPP develops proposals for the return of foreign businesses

The Russian Union of Industrialists and Entrepreneurs (RSPP) has formed a working group to develop conditions for the resumption of activities in Russia by foreign investors. This was reported by Vedomosti on 15 April, citing two sources familiar with the group’s work.

30% of companies that exited Russia have lost return option rights

About 30% of foreign companies that are members of the American Chamber of Commerce in Russia (AmCham Russia – which includes not only American but also European and Asian firms) and that sold their Russian businesses have already had their buyback options expire. This was stated by AmCham Russia President Robert Agee in an interview with Expert magazine.

Cassation court upholds anti-suit injunction for UniCredit Bank

azh Court of the North-Western District has rejected the cassation appeal filed by UniCredit Bank GmbH (the German subsidiary of Italy’s UniCredit Group), which was contesting an injunction on continuing legal proceedings abroad against RusKhimAlyans (RKA, a Gazprom joint venture with Rusgazdobycha). The ruling was published on 4 April.

Authorities draft preliminary conditions for the return of foreign companies

Russian authorities are working on the conditions under which foreign companies that exited Russia since 2022 may be allowed to return. RBC reported on a preliminary list of such conditions, citing informed sources. It remains unclear which of these will appear in the final version after inter-ministerial discussions and approvals.

State Duma prepares to pass a bill making it hard for foreign companies to return by exercising their options

The State Duma is considering a bill that makes it possible to block foreign investors who left Russia after the military operation began in February 2022 from buying back their Russian assets under existing options. Potential modifications have been prepared in the form of amendments for the second reading of a 2020 bill that was passed on its first reading in May 2022 but has since lain idle.

UAE companies offer to buy Russian UniCredit business

Three companies based in the United Arab Emirates (UAE) have approached the Italian Finance Ministry with a proposal to buy the Russian business of the Italian banking group UniCredit, Reuters news agency $ reports$ , citing a document seen by the agency. The agency says that the little-known Dubai investment companies Asas Capital and Mada Capital have produced a plan to set up a special purpose vehicle and team up with Inweasta, which already operates in Russia, to purchase the Russian UniCredit Bank.

State Duma to rework bill denying options for foreign companies' return

Lawmakers in the State Duma intend to amend the bill  allowing certain investors who left Russia after the military operation began in February 2022 to be blocked from buying back Russian assets under existing options.

Authorities mull idea of restricting foreign cloud services in Russia

The Ministry of Digital Development, Communications, and Mass Media does not rule out the possibility of gradually blocking foreign cloud services if they have Russian equivalents.

FAS once again revisits bill expanding oversight of transactions involving foreign investors

The Federal Antimonopoly Service has submitted what is now the third version of a bill amending Law No. 57-FZ "On the Procedures for Foreign Investment in Business Entities of Strategic Importance for National Defense and State Security".

No official approaches yet by foreign companies looking to return to Russia

So far not a single Western company has officially approached the Ministry of Industry and Trade about returning to the Russian market. This was stated on 2 June by Industry and Trade Minister Anton Alikhanov.