Russia seizes assets of French firms, summons UK envoy over Ukraine support
Russia has intensified pressure on Western backers of Ukraine by summoning Britain’s chargé d’affaires in Moscow over increased UK weapons supplies and ordering the seizure of Russian operations belonging to several Western companies. A Kremlin decree transferred the Russian assets of Nestlé and three French firms to a new state-managed entity, while Moscow publicly accused London of endorsing "terrorism" through its support for Kyiv.
Why It Matters
The moves escalate diplomatic tensions between Russia and Western states and signal an increased use of economic and legal measures against foreign firms operating in Russia, potentially affecting international corporate operations and ally relations amid the war in Ukraine.
Key Facts
- UK diplomat summoned: Britain's chargé d'affaires in Moscow, Danae Dholakia, was formally summoned by the Russian Foreign Ministry.
- Russian accusation: The Russian Foreign Ministry accused the UK of becoming an accomplice to what it called Kyiv's 'terrorism' after a rise in weapons shipments.
- Companies affected: Russia ordered seizure of the Russian operations/assets of Nestlé and three French firms: Auchan, Lemana Pro (formerly Leroy Merlin) and FM Logistics.
- New management: President Vladimir Putin signed a decree transferring the firms' Russian operations to LEV Management, run by a Russian Interior Ministry general (reported by Novaya Gazeta Europe).
- Kremlin comment: Spokesman Dmitry Peskov said the moves targeted companies from 'unfriendly' countries and described the measures as 'temporary administration.'
Moscow escalated its response to Western military support for Ukraine this week by summoning Britain's top diplomat in Russia and ordering state control over the Russian operations of several Western corporations. The Russian Foreign Ministry called a formal protest after Britain increased weapons shipments to Kyiv and accused London of effectively endorsing what it described as terror tactics by the Ukrainian authorities.
A presidential decree signed by Vladimir Putin moved the Russian businesses and assets of Swiss food group Nestlé and three French companies—retailer Auchan, DIY chain Lemana Pro (formerly Leroy Merlin) and logistics firm FM Logistics—into a new entity named LEV Management. Novaya Gazeta Europe reported that the new manager is a general from Russia's Interior Ministry. Kremlin spokesman Dmitry Peskov said the firms come from 'unfriendly' countries and characterized the takeover as temporary administration while no final decisions have been announced. Nestlé said it was assessing the situation and its options.
The diplomatic and economic steps come amid broader concerns about Russia's actions beyond direct battlefield operations. Polish Prime Minister Donald Tusk warned that Russia might be preparing hybrid drone and missile strikes aimed at countries supporting Ukraine, which could be presented as accidental to try to deter NATO collective-defense responses. French President Emmanuel Macron said the threat from Russian hybrid operations across Europe has risen, and France's interior minister has met regional officials to increase vigilance and prepare protections for critical infrastructure and sensitive defence-related sites.
Meanwhile, overnight Russian strikes struck multiple regions in Ukraine, triggering fires, as President Volodymyr Zelenskyy prepared to host the inaugural Carpathian Eight summit with leaders from Romania, Poland, Slovakia, the Czech Republic, Austria, Hungary and Serbia, alongside European Union discussions on regional cooperation. The summit comes against a backdrop of differing stances among neighboring countries: Poland and Romania remain strong supporters of Kyiv, while Hungary and Slovakia have previously declined to send direct military assistance.
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