Themoscowtimes Russia Nationalizes Japan Tobacco International's Assets Amid Rising Tensions
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- •Putin's decree places JTI's Russian operations under state control.
- •The seizure affects four factories and around 4,000 employees.
- •This action is part of a wider trend of nationalization of foreign businesses in Russia.
On November 5, 2026, Russian President Vladimir Putin signed a decree placing Japan Tobacco International's (JTI) Russian operations under temporary state management. This move affects four factories and approximately 4,000 employees, transferring control to a state-linked company named Industrial Assets. JTI, which holds about 40% of the Russian cigarette market, has been operating in Russia since 1999. This seizure is part of a broader trend of asset nationalization targeting foreign companies in response to Western sanctions following Russia's invasion of Ukraine. The action follows the recent arrest of Japanese journalist Yuki Imai on espionage charges, further straining Japan-Russia relations. JTI has stated it is assessing the situation and its options regarding the management of its Russian assets.
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