Marlboro Maker Philip Morris To Quit Russia Market

Marlboro maker Philip Morris International Inc. is working on options to exit the Russian market, citing a complex and rapidly changing regulatory and operating environment in the country following its invasion of Ukraine, Reuters reported.

Photo Insert: The Philip Morris International headquarters in Lausanne, Switzerland

The company, which garnered around 6% its net revenue from Russia in 2021, said on Thursday it has discontinued sale of several cigarette products and canceled all product launches for the year in Russia.

It has also canceled plans to make over 20 billion TEREA sticks, heated tobacco units intended for use with its IQOS ILUMA devices, as well as related investment of $150 million.

Earlier this month, Philip Morris had suspended its planned investments and decided to scale down manufacturing operations in the country.

Rival Imperial Brands, too, has started talks to transfer its Russian business to a local third party, joining BAT in exiting the sanction-hit country.

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