Samsung forced to stop shipments to Russia due to currency and logistics issues

(Reuters illustration file by Dado Ruvic)

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SEOUL (March 7): Samsung Electronics Co said Monday it has temporarily suspended product shipments to Russia due to major disruptions in global logistics following unrest over Russia’s invasion of Ukraine.

“Samsung has been forced to halt shipments to Russia due to a variety of factors, including logistical issues and unstable exchange rates, like many other global companies,” a company spokesperson said. Yonhap News Agency.

Global shipping companies, including Maersk, halted most deliveries to Russia following a series of Western sanctions against Russia, and the Russian ruble recently fell to record lows amid heightened geopolitical risks.

The South Korean tech giant said it was looking for measures to deal with the unstable business environment.

The tech giant has been operating in Russia for almost 30 years. The company had the honor of being named “Russians’ favorite brand” by Moscow-based Online Market Intelligence from 2011 to 2016.

Samsung was also Russia’s top mobile device vendor last year, taking around 26.6% of the market, followed closely by Apple, according to German market researcher Statista.

Over the weekend, Samsung announced it would donate $6 million to support humanitarian efforts for Ukrainian refugees, including $1 million in consumer electronics.

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