THE WHAT? Reckitt’s Russia unit is developing new locally registered products to replace much of its hygiene portfolio following tighter EU sanctions.
THE DETAILS The company is reformulating products and registering new intellectual property within Russia after sanctions restricted its ability to supply certain household and germ protection products and use EU-owned brands. The shift has contributed to a double-digit decline in Russia’s like-for-like revenue and a 200-basis-point impact on emerging markets performance. The transition is being managed locally without support from headquarters, while Reckitt continues efforts to transfer ownership of its Russian business, a process ongoing since 2022.
THE WHY? The move is aimed at maintaining market presence and operational continuity in Russia despite regulatory constraints limiting imports, branding and intellectual property usage.
Source: Reuters
