More Aerospace Businesses Alter Relationships With Russia
Dozens of aviation-related companies have either scaled back or ceased operations there in light of attack on Ukraine.
Russia’s flag carrier Aeroflot said Wednesday it had not “yet” been ordered to ban ticket sales to military-aged men, according to a report. [File Photo: Shutterstock]
Since Russia’s attack on Ukraine, more than 400 companies have pulled back from Russia, changing their relationships to comply with sanctions, or in solidarity with Ukraine.
As the conflict escalates, the actions companies have taken seem to fall into five categories. The Yale School of Management has masterfully tracked all company actions and has separated them based on the magnitude of their responses:
- Complete withdrawal
- Temporary suspension
- Reducing activity
- Paused future developments
- Companies who plan to stay
We’ve paired down the list to highlight the aviation companies taking aviation, as well as some of these companies whose business operations participate in the aviation industry indirectly, only providing auxiliary—but still critical—support.
Apart from the companies we mentioned before, here are the latest moves:
| WITHDRAWAL- Ceased operation | Action |
| AerCap (NYSE: AER) | Cease lending to Russians |
| American Airlines (NASDAQ: AAL) | No flying over Russian airspace |
| Centrica (OTCMKTS: CPYYY) | Exit gas supply partnership with Gazprom |
| Exxon (NYSE: XOM) | Exit Rosneft partnership |
| Korean Air Lines (KRX: 003490) | No flying over Russian airspace |
| Marsh McLennan (NYSE: MMC) | Exit operations in Russia |
| United Airlines (NASDAQ: UAL) | No flying over Russian airspace |
| SUSPENSION – Keeping Options Open for Return | |
| Airbus (US OTC: EADSY) | Suspend supply of parts to Aeroflot |
| Alaska Airlines (NYSE: ALK) | Suspend Russian partnerships |
| Boeing (NYSE: BA) | Suspend operations in Russia/titanium purchases |
| Bombardier (OTCMKTS: BDRBF) | Restrict new Russian business |
| Booking (NASDAQ: BKNG) | Suspend bookings in Russia |
| Bose | Suspend all shipments to Russia |
| BP (NYSE: BP) | Suspend operations/divest from 20 percent Rosneft stake |
| Bridgestone Tire (OTCMKTS: BRDCY) | Suspend manufacturing in Russia and shipments into |
| Dassault Aviation (OTCMKTS: DASTY) | Suspend all shipments to Russia |
| Delta Air Lines (NYSE: DAL) | Suspend agreement with Aeroflot |
| Deutsche Bank (NYSE: DB) | Wind down business in Russia |
| DHL (OTCMKTS: DPSGY) | Suspend all shipments to Russia |
| Expedia (NASDAQ: EXPE) | Suspend bookings in Russia |
| FedEx (NYSE: FDX) | Suspend all shipments to Russia |
| Honda (NYSE: HMC) | Suspend all shipments to Russia |
| Honeywell (NASDAQ: HON) | Suspend virtually all sales in Russia |
| Johnson Controls (NYSE: JCI) | Suspend operations in Russia |
| Juniper Networks (NYSE: JNPR) | Suspend sales in Russia |
| Neste Oyj (OTCMKTS: NTOIY) | Suspend purchases of Russian oil |
| Raytheon (NYSE: RTX) | Suspend operations in Russia |
| Rockwell Automation (NYSE: ROK) | Suspend operations in Russia |
| Rolls Royce (OTCMKTS: RYCEY) | Suspend all shipments to Russia |
| Sabre (NASDAQ: SABR) | Suspend partnership with Aeroflot |
| Shell (NYSE: SHEL) | Suspend operations in Russia |
| Stellantis (NYSE: STLA) | Suspend operations in Russia |
| Uniper SE (ETR: UN01) | Suspend new Russian gas purchases/divest Unipro |
| UPS (NYSE: UPS) | Suspend all shipments to Russia |
| Valero Energy (NYSE: VLO) | Suspend purchases of Russian oil |
| Viva Energy (ASX: VEA) | Suspend purchases of Russian oil |
| SCALING BACK – Reducing Current Operations | |
| Allianz (OTCMKTS: ALIZY) | Meaningfully reduce exposure to Russia |
| Amadeus IT Group (OTCMKTS: AMADY) | Suspend partnership with Aeroflot |
| BNP Paribas (OTCMKTS: BNPQY) | Suspend new business in Russia/curtail financing |
| Bosch (NSE: BOSCHLTD) | Suspend some shipments and plants but not all |
| GE (NYSE: GE) | Suspend certain operations but continue others |
| Michelin Tire (OTCMKTS: MGDDY) | Halting production at some plants/reviews |
| PAUSED – Holding Off New Investments/Development | |
| ADM (NYSE: ADM) | Unspecified scaling down of non-essential operations |
| Air Liquide (OTCMKTS: AIQUY) | Suspend investment/development but not operations |
| BASF SE (OTCMKTS: BASFY) | Suspend new Russian relationships but not existing |
| Pirelli (BIT: PIRC) | Suspend new investments in Russia |
| Trafigura | Suspend new investments in Russia |
| DECIDING TO STAY–Opted to continue business | |
| Credit Suisse (NYSE: CS) | $1 billion in net exposure to Russia |
| Emirates Airlines | Not disclosed publicly |
| Renault (OTCMKTS: RNLSY) | Local workforce of 40,000 and 10% of revenues |
It still isn’t immediately clear how those moves will reverberate through the various supply chains, but as many companies depend on operations in the affected regions for both top and bottom lines of revenue, they won’t be insignificant.
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