Business news from Ukraine

GERMAN CONCERN SIEMENS ANNOUNCES TERMINATION OF BUSINESS IN RUSSIA

The German concern Siemens will leave the Russian market as a result of Russia’s full-scale invasion of Ukraine, the company said in a statement.
Siemens has begun the process of terminating its manufacturing and operating activities.
Siemens recalled that after the start of the Russian war in Ukraine, the company suspended all new operations and international deliveries to the Russian Federation and Belarus. International sanctions and potential countermeasures affect the company’s activities in Russia, in particular, railway maintenance and repair.
Siemens has decided to conduct an orderly exit process from Russia, CEO Roland Bush is quoted as saying.
“We evaluate the impact on our people and will continue to support them to the best of our ability. At the same time, we provide humanitarian assistance to our colleagues and the people of Ukraine and support the calls of the world community for peace,” said the head of Siemens.
At the moment, the Siemens circuit includes, in particular, operations in the field of automation and digitalization for industry, intellectual infrastructure, transport, and distributed power systems. In 2020, the company held a spin off, as a result of which the energy division was separated into a separate Siemens Energy company (as of the end of November 2021, Siemens was the largest shareholder with a 35% share).
Thus, two separate companies are represented in the Russian Federation – Siemens and Siemens Energy.
In Russia, Siemens Energy is one of the main suppliers of power equipment. The company, in particular, owns Siemens Transformers and 65% in a joint venture with Power Machines – Siemens Gas Turbine Technologies (STGT). Siemens Gamesa, also part of Siemens Energy, is a partner of Enel Russia (MOEX: ENRU) in implementing renewable energy projects in Russia.
In addition, in Russia, Siemens and the Sinara group operate a joint venture LLC Ural Locomotives, which serially produces freight mainline DC electric locomotives with a collector traction drive 2ES6 Sinara and with an asynchronous 2ES10 Granit, as well as electric trains Lastochka “and main AC electric locomotives 2ES7.

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CHANCELLOR SCHOLZ DISCUSSED WITH ZELENSKY “THE CURRENT SITUATION AND THE NEGOTIATION PROCESS” BETWEEN UKRAINE AND RUSSIA

German Chancellor Olaf Scholz, in a telephone conversation with Ukrainian President Volodymyr Zelensky on Wednesday, received information about the “current situation and the negotiation process” between Russia and Ukraine, according to a press release from the German government.
“The chancellor was informed about the current situation (in Ukraine) and about the negotiation process between Ukraine and Russia, designed to end the conflict,” the document says.
Scholz and Zelensky also discussed “concrete, practical ways” to provide further assistance to Ukraine and “agreed to remain in close contact.”
In addition, according to the document, Scholz “expressed condolences in connection with the death of the first president of independent Ukraine, Leonid Kravchuk.”

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TEAMVIEWER LEAVES RUSSIA AND BELARUS

Software company TeamViewer has announced the complete cessation of its operations in Russia and Ukraine due to the Russian special operation in Ukraine.
“We have decided to completely phase out any remaining business activity in Russia and Belarus,” the company said in statement on its website.
“On top of compliance with all international sanctions and immediately having stopped new business, we also do not prolong any contracts with customers from Russia or Belarus,” the company said.
Existing subscriptions outside the scope of sanctions which are not affiliated with an unrightful usage of our products will be honored until contract-end but will not be renewed afterwards.
“Moreover, TeamViewer has blocked all unlicensed connections to and from Russia and Belarus to avoid any further usage of our software,” the company said.
TeamViewer (headquartered in Göppingen, southern Germany) is a manufacturer of software for remote access, remote management and remote maintenance of computers and other end devices.

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MICHEL CONVINCED ALL EU COUNTRIES TO SUPPORT SIXTH PACKAGE OF SANCTIONS AGAINST RUSSIA WITH OIL EMBARGO

The proposal of the European Commission regarding the sixth package of sanctions with an oil embargo on Russia because of the war it unleashed against Ukraine will be supported by all member states of the European Union, European Council President Charles Michel has said with confidence.

“I can assure you that I’m working very hard with my team and with my colleagues in order to make sure that we will be able in very short term to take united position on the proposal putted on the table by the Commission,” he said in an exclusive interview with the Interfax-Ukraine.

Michel recalled that “systematically in the past there were some concerns that we would not be able to be united.” “We were systematically able to adopt united position. And, of course, it required some negotiations, talks, decision. We need the support of the 27 governments. A few weeks ago I said publicly in the European Parliament that sooner or later oil and gas would be part of the sanctions. This is an important step… This is Commission which makes a proposal but these are the governments, this is Council which takes a decision,” the President of the European Council said.

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UKRAINIAN PRESIDENT AGAINST FREEZING OF CONFLICT WITH RUSSIA

Ukrainian President Volodymyr Zelensky outspeaks against the freezing of the conflict with Russia.
Speaking at the Wall Street Journal CEO Council Summit Tuesday night, he said, referring to a possible cease-fire, that “it doesn’t mean Russian troops will stand where they are now. It’s a frozen conflict. We’re not going to agree to a frozen conflict.”
He called the Minsk agreements the kind that led to the frozen conflict. “I am against it, there will be no such document. We did not withdraw from Minsk, Russia withdrew from it on February 24. They did, and Ukraine will definitely not go into such a swamp again.”
At the same time, according to Zelensky, he does not see the desire of the Russian Federation to achieve a ceasefire. “If we have a meeting with President Putin, then maybe we can agree with him personally. He should commit to a ceasefire, preferably public, then we can believe in it,” the president said.
He also said that “we must first take the appropriate steps to stop the war, and then diplomacy will come into play.” “It is desirable to do the first stage and we have done that – to stop Russia in its advance. The second stage is to do as much as possible so that Russia withdraws from our territory. Now we are in the second stage. The third stage is to restore as much territorial integrity as possible,” he said.
In his opinion, “where it is possible to restore territorial integrity, to find some compromises through dialogue in words, not through dialogue of weapons, Ukraine will do it, but showing its position as an equal partner in any dialogue”.
Zelensky noted that “our groups are communicating at the level of negotiators,” but “I do not really believe in such agreements.” “It’s important to talk, but until the president of the Russian Federation personally says it officially, and I don’t see the weight in such agreements,” Zelensky said.

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UKRAINIAN PARLIAMENT LIMITS CIRCULATION OF MEDICINES PRODUCED IN RUSSIA AND BELARUS

The Verkhovna Rada (Ukrainian parliament) has adopted a bill on limiting the circulation of medicines produced in the Russian Federation and Belarus (registration No. 7313).
The adoption of bill No. 7313 at the final reading at a session on Tuesday was supported by 316 MPs with the required 226 votes, Yaroslav Zhelezniak, a member of the Holos parliamentary faction, said on his Telegram channel.
As reported, bill No. 7313, which restricts the circulation of medicines produced in the Russian Federation or the Republic of Belarus, and authored by a group of MPs of the Servant of the People faction, including Head of the committee on national health, medical care and medical insurance Mykhailo Radutsky, was registered in the Rada on April 25, 2022.
According to First Deputy Minister of Health Oleksandr Komarida, state registration of medicines (all or selectively determined by the Ministry of Health) of an applicant in Ukraine can be temporarily canceled (registration certificate terminated) if it is established that this applicant or his representative is directly or indirectly related to business entities who are directly or indirectly involved in the production of medicines on the territory of the aggressor state (the Russian Federation or the Republic of Belarus).
In addition, the registration of the drug may be canceled if, after February 23, 2022, the applicant participated in at least one of the stages of production of any medicinal product or active pharmaceutical ingredients by an enterprise located on the territory of the aggressor state.

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