Mondelez chief defends staying in Russia as Ukraine war taxes draw criticism
The chief executive of Mondelez has defended the company's decision to keep operating in Russia, saying it was the "right decision" after Moscow's full-scale invasion of Ukraine in 2022. Dirk Van de Put said the move was intended to protect thousands of jobs and avoid the risk of the Kremlin taking control of the company's local operations. He also acknowledged that he was "not pleased" that taxes paid in Russia are helping fund the war.
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Van de Put made the comments in an in-depth interview, where he said the company had tried to remain neutral in the conflict. He said Mondelez had stopped new investment in its Russian business and suspended spending on advertising there. He added that if the company had pulled out, its plant could have been confiscated and used to generate more income for the Russian state.
The remarks come amid continuing scrutiny of Western companies that remained in Russia after the invasion, while others, including McDonald's, exited. Mondelez has said Russia has generated annual sales of between $1bn and $1.4bn since the invasion, underlining the scale of the business at stake. The company also faces political pressure in the UK, where more than 70 MPs signed a letter last year urging it to cut ties with Russia.
The issue is significant because it sits at the intersection of corporate risk, sanctions pressure and the wider debate over whether international firms should keep operating in Russia during the war. Mondelez is one of the best-known consumer goods groups still active there, and its position has drawn criticism from lawmakers who argue that continued business normalises economic ties with a state accused of war crimes in Ukraine. At the same time, the company says leaving could have handed assets and revenue to the Russian authorities.
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Mondelez also continues to operate in Ukraine, where Van de Put said the conflict remains a daily reality. He said an office building there had been hit on the morning he spoke, though everyone was safe. The company has two manufacturing plants in Ukraine, including one in Trostyanets near the Russian border and another in Vyshhorod, showing how the war affects both sides of its regional operations.
What remains unclear is whether the latest comments will change pressure on Mondelez from politicians or investors, or whether the company will alter its Russia strategy. The broader question is how long multinational firms can maintain a neutral stance in a conflict that has become deeply politicised and economically consequential. For now, Mondelez says it is staying put, while acknowledging the reputational and ethical criticism that comes with that choice.
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