The Swedish consumer goods company Essity, known for brands in personal care, has decided to exit the Russian market. This move is framed by executives as a restructuring step that will not disrupt the availability of products for domestic shoppers. Industry observers note that this transition mirrors what many global firms do when reassigning operations, preserving factory output while updating brand names and product lines.
According to Olga Sumishevskaya, founder and partner at the consulting firm One Story, the sale is expected to be carried out with minimal disruption. She explains that in such processes, the production sites typically remain in operation, branding may change, and a refreshed product assortment can be introduced without halting manufacturing. The core factories used by Essity would continue to run, ensuring continuity at the production level even as ownership changes hands.
Speculation about the buyers centers on three plausible routes: a state entity within Russia, a local government body, or an external private buyer from another country. RIA Novosti has requested comment from the Russian Ministry of Industry and Trade to confirm the specifics of the sale and any regulatory conditions attached to it.
Earlier this week, Essity confirmed that the decision to end activities in Russia includes moving forward with the sale of its local business. An agreement with selected buyers has already been signed, and the company emphasized that the deal has received the necessary approvals from Russian authorities. Closure is anticipated in the coming months, following the completion of all required financial processes.
Essity has been gradually reducing its presence in Russia since spring 2022, a phase of withdrawal that aligns with shifts in the global business landscape. The company distributes personal care products to a large network, serving tens of countries across continents and maintaining a portfolio that includes household and personal care essentials. The implications of this exit are being watched by suppliers, retailers, and consumers across the region who rely on a steady supply chain and consistent product availability.
Industry observers note that large multinational manufacturers often restructure rather than relinquish their market influence entirely. The redeployment of assets, partnership arrangements with local firms, and the introduction of new brands or product lines can help preserve market presence while aligning with corporate strategy. In similar cases, buyers have maintained manufacturing operations and distribution channels to ensure a seamless transition for customers and retailers alike.
Meanwhile, comments from government officials highlight the delicate balance between national policy goals and the logistics of transferring foreign business interests. The discussion includes considerations of employment, supply chain integrity, and regulatory compliance. In the broader context, other retailers and brands have also signaled strategic exits from Russia, reshaping the competitive landscape and creating opportunities for new entrants and local players to step in.
For consumers, the core impact will likely be felt through changes in branding and product lines rather than a sudden shortage of everyday essentials. Brand portfolios may be reorganized, with familiar names undergoing rebranding efforts or being replaced by locally managed equivalents. The goal, from a customer experience perspective, is to maintain product availability while ensuring that the transition adheres to all safety and quality standards that have long guided Essity’s operations.
As the sale progresses toward its anticipated closing date, retailers and distributors in Europe, the Americas, and beyond are watching closely. The evolving agreement underscores how global companies navigate geopolitical and market shifts while trying to maintain operational stability. The outcome will likely influence similar strategic decisions by other multinational groups facing comparable market dynamics and regulatory environments.
Industry watchers will continue to monitor announcements from Essity and its buyers for any updates on timelines, branding changes, and the roll-out plan for products in Russia. The overall trajectory reflects a broader trend among global firms reassessing regional footprints in response to shifting economic and political conditions, with careful attention to preserving consumer access and product quality throughout the transition.