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Putin Seizes Three More Japan Tobacco Businesses, Bringing Takeover to $3.7 Billion
UNITED24 Media • • world
Key Points:
- Russian President Vladimir Putin has expanded Moscow’s takeover of Japan Tobacco International’s (JTI) operations by placing three more subsidiaries under Russian-appointed management, bringing the total to seven companies valued at up to $3.7 billion.
- The latest decree transferred control of JTI Russia, Pereslavl-Tabak, and JTI Innovative Products to Industrial Assets, a Russian company founded in 2026 with ties to former Russian security officials.
- This move follows a November 5 decree that took over four other JTI-related businesses, including manufacturing and tobacco distribution entities, affecting around 4,000 employees.
- JTI, which has operated in Russia since 1999 and held about 40% of the cigarette market, decided to continue operations in 2023 despite suspending new investments amid the Ukraine conflict.
- Japan formally protested Russia’s takeover, with Tokyo demanding a reversal and raising the issue diplomatically with the Russian ambassador on November 6.
