PepsiCo said it would leave Russia. Last year, it paid $237 million to the state
In response to Russia's full-scale invasion, PepsiCo announced it would suspend production and sales in Russia in March 2022 — and yet, last year it still paid $237 million in income tax to the Russian state. PepsiCo, one of the largest food and drink producers in the world, remains Russia's fourth-largest foreign business — with 60,000 workers and 19 factories still producing Pepsi Cola for…
PepsiCo announced its departure from Russia in March 2022 following the full-scale Russian invasion of Ukraine. Despite this pledge, the company continued to pay $237 million in taxes to the Russian state in 2022. As the fourth-largest foreign business in Russia, PepsiCo employs 60,000 people and operates 19 factories producing Pepsi Cola under new brand names Lyubimaya Cola and Evervess Cola.
This persistence of production and sales in Russia has enabled substantial tax revenue contributions to the Kremlin's war budget. Founded in the Soviet Union and having one of the longest-standing relationships with Russia, PepsiCo's CEO Indra Nooyi praised Putin as a "great leader" after Russia annexed Crimea in 2014. The company's presence in Russia, along with other Western firms like Mars, continues to sustain the state budget focused on the war in Ukraine.
Despite announcing a suspension of capital investments and advertising activities, PepsiCo maintains sales of essential products like milk, dairy items, and baby food plus formula, as well as Lay’s chips, juices, and bottled water. The company's continued operations in Russia and the parallel imports of Pepsi cans from third countries have sparked discussions about the potential symbolic impact of Western companies leaving Russia as a result of the Kremlin's actions.
Written by urgent.news from Kyiv Independent's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
