NOKIA, Finland—Nokian Tyres P.L.C. has initiated a plan to immediately and completely exit the Russian market.
The Nokia-based tire maker said June 28 that its board of directors had approved a "controlled exit" from Russia, noting that the country's ongoing war on Ukraine and subsequent sanctions make it "no longer feasible nor sustainable" to continue operating there.
"After a thorough consideration and assessment of various options, we have decided to rebuild Nokian Tyres without a presence in Russia and focus on growth opportunities in our other core markets," Jukka Moisio, Nokian president and CEO said in a statement. "This was not an easy decision given we have over 1,600 dedicated employees in Russia whose expertise we highly value as well as many long-standing customer and supplier relations built over the past 17 years."
The company said it will make the move with its employees and legislation in mind.