Kremlin seizes Nestle and Auchan assets in escalating retaliation against Europe

Russian President Vladimir Putin signed a decree on September 17 placing the Russian operations of Nestle and Auchan under temporary external administration, handing control to AO L.E.V. Management, a little-known firm registered in Moscow. The Kremlin framed the move as retaliation against “unfriendly” European nations that have provided military support to Ukraine. Kremlin spokesperson Dmitry Peskov made the connection explicit, pointing to the military aid flowing from Switzerland and France to Kyiv as justification. What got seized, and how big is the hit Nestle’s Russian footprint is substantial. The Swiss food giant operates six factories in the country and employs roughly 7,000 people. In 2021, Russian sales generated approximately 2 billion Swiss francs, or about $2.4 billion, accounting for around 2% of the company’s total revenue. Auchan’s exposure is even larger by headcount. The French retailer runs approximately 230 stores across Russia and employs around 30,000 people. In the first half of 2026 alone, Auchan’s Russian operations produced about 127 billion rubles, roughly $1.5 billion in revenue. The decree also sweeps in related entities including FM Logistic and Lema...