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Industry news PLASTIC PIPES 2024

UPONOR COMPLETES

RUSSIAN MARKET EXIT

KWD-globalpipe stop all imports from and exports to Russia in connection
with Russian special military operation.
As part of the divestment, the business will operate
ponor Corporation has completed its exit from the Rus- under the local management’s ownership with a different
U sian market in accordance with local government au- brand. The business currently employs 51 persons in Rus-
thority requirements. The company transferred its business sia. Uponor’s total assets in Russia accounted for 1.3% of
in Russia to local management. total Group assets. The financial impact of the divestment
Throughout the various processes, Uponor’s priority has is in line with the write-downs of net assets made in 2022
been ensuring the safety and wellbeing of employees. The and therefore do not have material impact on Uponor’s Q1
value of the transaction is not disclosed. 2023 financials.
The divestment process took longer than expected due to The financial consequences of the sale correspond to
local government authority requirements. The divestment the write-off of net assets made in 2022, and therefore do
follows Uponor’s announcement of initiating the sale of its not have a significant impact on ponor s financial perfor-
Russian operations in June 2022 after an earlier decision to mance for the first quarter of 2023.

THE EU’S 11TH SANCTIONS PACKAGE

INCLUDES MEASURES TO LIMIT

PARALLEL IMPORTS RUPEC

he European Union has adopted the 11th sanctions
T package against Russia. Its main points concern the
import of Russian oil and the supply of dual-use goods. The
Russian petrochemical industry can be directly affected by
prohibition on the sale, license, transfer or reference to intel-
lectual property rights and trade secrets used in connection
with restricted goods. In parallel, some logistical restrictions
have been introduced for ships and vehicles. In particular,
the EU has prohibited transport of goods into the EU by road
in trailers and semi-trailers registered in Russia.
The EU added additional 87 entities to the list of entities
directly supporting Russia’s military and industrial complex:
those entities are now subject to tighter export restrictions
concerning dual-use good and technologies. The previous sanctions package included a rather large
According to the EC s official press release, the list in- number of restrictions for the petrochemical industry. In
cludes entities registered in China, Uzbekistan, the United particular, one of the most important bans concerned the
Arab Emirates, Syria and Armenia. import of Russian synthetic rubber, carbon black, asphalt
The EU has also designated more than 100 individuals and bitumen. In the first two cases, the sanctions will come
and entities that are now subject to an asset freeze. into force only from 30 June 2024.

6 industry information and analytical digest