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Finnish paint maker Tikkurila leaving Russia

Christian Fernsby |
PPG (owner of Tikkurila) is winding down business in Russia, while maintaining support of their local employees.

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"Currently, we continue to make only a minimum amount of sales sufficient to generate enough local currency to pay these employees. We had previously ceased all sales to the Russian oil and gas industry, state-owned entities, parties that fall within the scope of recent regulations and the aerospace market," Tikkurila said.

"The company plans to donate net profits, if any, generated by our Russian operations for full calendar year 2022 to nonprofit organizations providing direct humanitarian support.

"Due to our inability to sustainably operate even at this minimum level, PPG has taken the decision to activate options to exit Russia, including a possible sale or a controlled withdrawal from the Russia market."

Tikkurila, a major paint producer in Northern and Eastern Europe that has been part of U.S. group PPG Industries since June 2021, has plants in 11 countries.

In Russia, the company has three production facilities, three training centers and ten warehouses, and about 1,000 employees as of the end of 2021. Tikkurila had an 18.5% share of the Russian decorative paints market last year.

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