Ikea pulls out of Russia over ‘devastating war in Ukraine’
The furniture giant has joined multiple global businesses in suspending their Russian operations, announcing a move that will impact over 15,000 workers.
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Swedish furniture giant Ikea has temporarily paused all retail and business operations in Russia due to the “devastating war in Ukraine”.
Denouncing the invasion of Russian troops as a “human tragedy”, the global company applied restrictions on Russia and its ally Belarus. Production at Ikea Industry has also been paused across Russia, which includes deliveries from sub-suppliers.
Holding company Ingka Group said it would 17 retail outlets, but the group’s 14 Mega shopping centres will remain open to ensure access to essential products.
“Ingka Group has taken the decision to pause all Ikea Retail operations in Russia, while the shopping centre Mega, will continue to be open to ensure that the many people in Russia have access to their daily needs and essentials such as food, groceries and pharmacies,” the company said in a statement.
According to the company, the recent moves will directly impact 15,000 Ikea workers, but it said efforts had been made to provide employment and income stability in the immediate aftermath.
After the statement was released, footage shared by Eastern European media account Nexta TV showed crowds descending on Russian Ikea stores.
The 14-second video showed dense crowds and long lines of customers waiting in line to buy Ikea products.
The video was captioned: “#Russians in panic buy all the goods in Ikea after its announcement of withdrawal from the #Russian market.”
Ikea joins a host of business that have suspended or withdrawn their products, operations or production from Russia.
On Wednesday, Apple announced it would halt all product sales. Apple products like Apple Pay has also been limited while state-owned RT and Sputnik news apps are no longer available to download outside the country. Live traffic and “live incidents” updates in Ukraine have also been disabled on Apple Maps, with Google also restricting its Maps feature.
Other brands that have also restricted business in Russia include Nike, Ford, Harley-Davidson and travel firm Expedia. Multiple fashion brands have also joined the boycott including Mango, online retailer ASOS, Boohoo and H&M, which shuttered more than 150 stores across the country.
Originally published as Ikea pulls out of Russia over ‘devastating war in Ukraine’
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