Siemens Exits Russia
Company has over 170 years of history, 3,000 current employees in country
Siemens will exit the Russian market as a result of the Ukraine war. The company has started proceedings "to wind down its industrial operations and all industrial business activities" per an official statement released May 12, citing both its own moral objection to the war and the financial impact of sanctions on its Russian businesses. shown via its second quarter financial results released at the same time, which revealed that it faced 600 million euros in charges and impairments as sanctions on Russia hampered its mobility business.
The company has approximately 3000 employees currently in Russia, where it has a storied history.
Roland Busch, president and CEO of Siemens AG, included in the statement that the pullout was not an easy decision to make, having been active in the Russian market for nearly 170 years. Siemens first arrived in Russia in 1851 to deliver devices for the telegraph line connecting Moscow and St. Petersburg.
Electrifying an entire country – a Siemens turbogenerator in the machine room of a power plant that supplied electricity to Moscow, 1926.—Siemens photo archives
After the start of the war, Siemens put all new business in and international deliveries to Russia and Belarus on hold. The comprehensive international sanctions, as well as current and potential countermeasures, impact the company’s business activities in Russia, particularly rail service and maintenance.
Roland Busch, President and CEO of Siemens AG, said: “We condemn the war in Ukraine and have decided to carry out an orderly process to wind down our industrial business activities in Russia. This was not an easy decision, given our duty of care for our employees and long-standing customer relationships, in a market where we have been active for almost 170 years. We are evaluating the impact on our people and we will continue to support them to the best of our abilities. At the same time, we provide humanitarian assistance to our colleagues and the people of Ukraine and stand with the international community in calling for peace.”
The business will manage the orderly process to wind down its activities in line with regulatory requirements and international sanctions. Siemens Healthineers has already informed on its activities related to Russia as part of its Q2 disclosure on May 4. Further information on Siemens earnings is available at: