"We need to give ourselves a chance to breathe." Business — on the return of Western companies

At the end of May, Russian President Vladimir Putin called for mirror measures to be taken against services that have not completely left Russia and are “trying to strangle us”: “We need to strangle them. I say this without any embarrassment. Because they are trying to strangle us, we need to reciprocate. We have not kicked anyone out, we have not interfered with anyone.”

Who do you think should be "strangled"? Under what conditions should foreign business return to Russia?

Andrey Kostin, President and Chairman of the Management Board of VTB

We don’t have anyone to “strangle”. <…> I believe that business didn’t want to leave Russia, that was obvious. I had meetings with companies we worked with over three years – they all said the same thing: “We wouldn’t leave, but there is strong political pressure”. Business won’t return until the policies of Western countries change.

European business will definitely not return. American business - if there is a turn in American policy, but this is not happening yet either. Now the Trump administration has stopped the further flow of sanctions, but the old ones have not been lifted, no one has given them permission to return to Russia yet. In general, this is a preliminary conversation. Who is returning? Who are we offering these conditions to? Everyone left in different ways - some slammed the door a little more, some left quietly. I don’t know what to punish in particular.

Sergey Katyrin, President of the Chamber of Commerce and Industry of Russia

This primarily concerns companies that formally remain in the Russian space, but in fact limit work with Russian partners, block services, technological updates, contracts. Such a "double game" is unacceptable - and in this the position of the business community coincides with the position of the president.

Our opinion: the return should not harm Russian companies that invested in import substitution projects and did not complete the investment cycle.

Western businesses must also provide commitments to continue operating in Russia to avoid situations where companies enter the market, gain a share, and then leave again at the first sign of trouble.

In addition, returning companies must create jobs in Russia, invest in domestic industry and locate production in the country, rather than simply supply finished products. it is important that the return takes place on transparent market conditions.

Robert Agee, HEAD of the American Chamber of Commerce in Russia

I don't think anyone should be strangled. Russia should see which companies want to come back and which don't. Russia needs both technology and investment . Let's see which companies want to come and which don't.

Sergei Gavrilov, Chairman of the State Duma Committee on Property, Land and Property Relations

Against this backdrop, the president's speech about the need for mirror measures in relation to foreign platforms remaining on the Russian market takes on new significance. This is no longer just a question of political reaction - it is a signal about adjusting property relations. Those who continue to profit from Russian users, not wanting to place production or legal assets in the country, must be forced out in favor of those who are ready to register property in Russian jurisdictions, issue shares on local exchanges and join the real economy.

The return of foreign business in these conditions is possible only with the institutionalization of its property within the national legal framework - with inclusion in Russian joint-stock companies, the transfer of part of the management to local investors and obligations to disclose the ownership structure. Today, the dispute is not so much about who to "strangle" as about who is ready to share the property fate with Russian shareholders. Those who continue to work from abroad, while maintaining a share in the profits, but without assuming legal and economic obligations within the country, are in fact exploiting a one-sided access regime. Their economic role must be reconsidered.

At the center of the agenda is not only money , but also property: who owns it, how it participates in the economy, and through what forms — shares, stocks, property — this ownership is expressed. Without this conversation, any macroeconomic measures lose their meaning.

German Gref, head of Sberbank

As for the return of investors, I would not comment now, it is definitely not our competence. As for the presence of foreign companies here, I strongly support this. I believe that this is competition that our economy so needs. We have never advocated for limiting the presence of any competitors, including foreign ones, in the banking sector. We are not afraid of competitors. We are able to compete with the best banks in the world. Let them come, let them try to win the market from us. For us, this will be a very good impetus to work even better and even faster.

Alexander Zharov, CEO of Gazprom-Media holding

In my opinion, if we are talking about the media industry, film production in particular, then Western majors will be "strangled" by our own Russian viewers. The problem of the return of foreign companies goes far beyond the boundaries of the exclusively business environment. Russians faced real discrimination when they were denied access to various services only because they are citizens of our country. Of course, in such a situation, there is no point in talking about any high level of loyalty to Western brands.

In addition, in recent years, the domestic offer has expanded significantly: if we are talking about the media environment, then the domestic projects being created now meet the needs of the audience much better than the products of foreign companies.

It will be possible to make some specific forecasts only when the issue of the return of foreign business becomes concrete. Nevertheless, I am sure that foreign companies will not find themselves in “hothouse” conditions, but will face the strongest competition from strengthened Russian brands.

Alexander Kalinin, head of Opora Rossii

Of course, we need sovereign products, including technological ones. Another thing is that these products have not yet been able to fully replace Western ones. But we must strive for this. Let's say that our organization has long switched from Zoom to Russian video conferencing services. And we are happy. But there is such a thing: when Western services leave, ours raise their prices many times over. Let's say Bitrix raised its prices four times over. And this applies to many products. As a result, our products are many times more expensive. Because there is no competition.

Felix Lieb, CEO of M.Video-Eldorado

M.Video-Eldorado is closely monitoring the situation around the possible return of foreign brands that left the Russian market in 2022. It is important for us that the buyer has a wide choice of high-quality equipment. At the same time, we believe that the return of foreign companies should be transparent, within the law and without damage to the partnerships that we have built in recent years.

We see our task in explaining to customers the advantages of new brands, forming trust in equipment from Russia and friendly countries. Much has changed in three years: demand for local brands has appeared, the share of products from friendly countries has grown — and our company has actively contributed to this. Today, the market has become multipolar and competitive. We believe that it is the consumer who should decide what to buy — Russian equipment, products of local production, new brands or returning international players. Those Western companies that want to return will have to try hard to win the attention of buyers again. Competition has increased, and consumers have become more conscious and loyal to new brands. We are ready to work with brands that are focused on honest and open cooperation. At the same time, we will continue to develop our own brands, expand the range of Russian products and strengthen ties with manufacturers from friendly countries.

Marcello Gelashvili, Managing Partner of B1 Group of Companies

When determining the conditions for the return of foreign companies, it is, of course, important to protect national interests and domestic business. At the same time, it is necessary to make the return attractive for foreign companies, as they expect a return on the investments they will have to make in our country.

Many business associations have already voiced their proposals regarding the return of foreign companies to the Russian economy. Among these initiatives, it is worth noting the proposals to increase technological and corporate control over foreign investments. Their main idea is to collect in Russia the maximum number of elements from the value chains of international companies: from the development and production of products to their after-sales service. This should increase the transfer of technologies to the country, the development of production, the creation of local engineering and R & D centers. At the same time, it is proposed to conduct business in certain industries in the form of joint ventures so that Russian partners have greater involvement in doing business and technological development. For example, CHINA has such experience , which requires foreign companies to create a joint venture in many situations. For example, in the production of cars, mining and the provision of a number of professional services. It is possible that such a practice can be introduced in Russia.

At the same time, it is important to ensure that the rules of the game are as clear as possible for foreign companies, and that the regulatory and tax spheres are predictable. We should also not forget about those foreign companies that did not leave Russia after 2022 and fulfilled their obligations; the conditions for them should be no worse.

Alexey Repik, Chairman of Delovaya Rossiya

We should not stifle them, but rather give ourselves, as they say, a chance to breathe. In an economic sense, this means that we need to find niches in which we should give priority to Russian enterprises in the most effective way. If through a ban on foreign vendors, maybe so. If through preferences, maybe so. If through an order, maybe so. If through cheap investments, say, subsidizing the interest rate, maybe so. If through support with the help of platforms for entering the external market, maybe so. Or maybe all together. Obviously, where we develop a dependence , including behavioral, on this or that external solution, but where we have the opportunity, I would say, such a realized opportunity, without significant damage to quality for the consumer, so that we could switch and no one would notice the difference. To be honest, no one feels that we don’t have Amazon here. There is Ozon, there is Wildberries, there is Yandex, and everyone is doing great. But I can't switch from iPhone - I'm using iPhone, I'm used to it, but it's terribly inconvenient because I can't download half of the apps I want. If they make a new phone, whoever it is, that I can get used to, that would be great. They haven't done it yet.

Inessa Galaktionova, CEO of MTS

The presence of strong local products will automatically replace the solutions of foreign companies. The most difficult topic is everything related to various processes, for example, replacing SAP. Large companies have been sitting and sitting on SAP solutions for years - innovative, technological, thoughtful, well-developed. Replace them right now? This is a huge investment to transfer all processes. And for this, you need a strong local solution that provides good functionality and is competitive with Western analogues. If there are strong products, you can strangle anything.

Boris Titov , Special Representative of the President for Relations with International Organizations to Achieve Sustainable Development Goals

Business must return on one condition: that it be profitable for Russia, its producers and consumers.

Vitaly Sergeychuk, member of the board of VTB Bank

The President outlined the position, in short - it should be beneficial for our producers, our economy. There should be a win-win situation: Russia gets high-tech jobs, technological development of industries, the emergence of new industries, new production and technologies, it grows deeper into international cooperation, and so on. Foreign partners work in an attractive market, make a profit. By the way, it is worth remembering that many companies did not leave, and other foreign players came to replace those who left - those who believed in the Russian market.

I would also like to remind you of two things. First: VTB's competencies allow us to implement almost any projects - with returning companies, with those that remain, or without them. Second: for those who put pressure on our partners, I will use a phrase from Game of Thrones: "The North remembers."

Alexey Govyrin, member of the State Duma Committee on Small and Medium-Sized Entrepreneurship

The president's call for mirror measures in relation to foreign services in this context also has practical significance. It is about the redistribution of market opportunities. Those who work in the Russian market but do not pay taxes here, do not create jobs, do not invest in the development of small businesses, receive income from the Russian audience without obligations. If these businesses are ready to return, their participation should be material: through the creation of local offices, through participation in SME support programs, through investments in infrastructure and through partnership with Russian manufacturers. Everything else is serving interests without responsibility. And it is precisely with responsibility that small businesses face every day when they need to pay rent, salaries, taxes and at the same time maintain a product that they are not ashamed of in front of the client.