The administration of Ukrainian President Volodymyr Zelensky has placed Bacardi Limited, one of the world's largest producers of alcoholic beverages, on a so-called "blacklist" of "international war sponsors," RFE/RL's Russian branch reported on August 10.
The list, maintained by the National Anti-Corruption Service of Ukraine (NACP), targets foreign companies that are still doing business in Russia despite pressure to withdraw from the lucrative market.
According to the NACP report, after Russia invaded Ukraine, Bacardi continued to supply millions of dollars worth of products to Russia and sought to hire new employees there. That means Bacardi continued to pay taxes to the Russian budget, supporting the country’s economy and funding the war effort against Ukraine.
In particular, according to NACP, Bacardi's Russian branch imported $169 million worth of products into the country last year, while the company's net profit last year more than tripled compared to 2021, reaching 4.7 billion rubles. About $12 million was reportedly paid into the Russian budget by the company.
In the spring of 2022, after Russia sent troops to Ukraine, Bacardi announced that it would stop shipping to Russia and investing in advertising, however, at the end of June 2023, the phrase “stop shipping to Russia” disappeared from the company's press release, notes the independent online newspaper The Bell (Russia).
Bacardi Limited owns more than 200 brands, including its namesake Bacardi rum, the world's best-selling rum brand. Photo: Root Nation
The Wall Street Journal (USA) recently reported that Bacardi currently employs 350 people in 7 cities in Russia and is continuing to recruit.
Headquartered in Bermuda – a British overseas territory in the North Atlantic, Bacardi operates in 170 countries, owning brands such as Grey Goose vodka, Patrón tequila, Aberfeldy whisky, Dewarʼs, William Lawsonʼs, Bombay Sapphire gin, Baron Otard bourbon, vermouth and Martini & Rossi wine along with its namesake rum.
There has been no reaction from Bacardi to the Ukrainian government's decision, RFE/RL's Russian branch said.
A company's inclusion on the "international war sponsors" list does not result in asset freezes, travel bans, trade restrictions or any other consequences similar to a sanction.
The NACP “blacklist” is essentially a name-and-shame campaign designed to exert pressure and inflict a level of reputational damage deep enough to cause a foreign company to sever all ties with Russia.
The list currently has 31 names, Oleksandr Novikov, head of the NACP, said in an interview with the Ukrainian newspaper Ukrinform published on August 11.
“Now 31 companies are on the list of international sponsors of Russia’s war. Most of them are Chinese companies. American companies are in second place, and then European companies,” Novikov said.
At the end of March, the list included only 27 international companies, such as Xiaomi, Great Wall Motor, Procter & Gamble, Unilever, Mondelez International, OTP Bank, Auchan, Metro, Raiffeisen Bank International… .
Minh Duc (According to RFE/RL, Ukrinform)
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