Avatar

PepsiCo stopped production of Pepsi and Mountain Dew in Russia,



Reading time: 2 minutes

PepsiCo Inc has stopped making Pepsi, 7UP and Mountain Dew in Russia, nearly six months after the US company said it would suspend sales and production after Moscow invaded Ukraine, according to Reuters.

Pepsi’s announcement came after Reuters visited dozens of supermarkets, retailers and gyms in Moscow and found Pepsi cans and bottles printed with July and August production dates from factories in Russia.

The most recent production date for a Pepsi product was August 17.

In a statement to Reuters, the US company said it had stopped producing concentrates for PepsiCola, Mirinda, 7Up and Mountain Dew in Russia.

“All concentrates were subsequently sold out in Russia and production ended,” a PepsiCo spokesman said on September 8, the first public comments on the matter since the company announced in early March that it was suspending production, sales, promotional activities and advertising in Russia.

The spokesperson said this was “in line with the announcement we made in March 2022”, but declined to comment when asked for an update on the sales and whether they had been halted.

Continued production means the juices are still widely available in Moscow and also in Vladivostok in the Far East and Krasnoyarsk in Siberia, according to a Reuters study.

A Moscow gym owner said he placed an order with Pepsi as early as mid-August.

The West has not sanctioned the food and drink as part of comprehensive measures aimed at punishing Russia for its actions in Ukraine.

But the continued availability highlights the complexity of withdrawing from one of the world’s largest countries. In 2021, Russia was Pepsi’s third largest market, after the United States and Mexico.

At the start of the summer, shops in the capital were still selling stocks of foreign beer, months after brewers said they would stop production.

Production at Atlanta-based rival Coca-Cola Co also continued in Russia after it announced in March that it would suspend operations.

The company said in June that its bottler, Coca-Cola HBC AG, a separate company, and existing customers in Russia were running out of stock, after which production and sales of Coca-Cola and other brands would stop in Russia.

PepsiCo said in March that it would continue to sell everyday essentials such as milk and other dairy products, baby formula and baby food in Russia. The company has been operating in Russia for more than 60 years, and its juices were some of the few Western products allowed in the Soviet Union before its collapse.