France demands Russia reverse seizure of European corporate subsidiaries

France's Foreign Ministry and Economy Ministry on Friday condemned Russia's decision to place the local subsidiaries of several French and European companies under temporary administration, demanding that Moscow reverse the measure immediately and confirming that Paris remains in close contact with the affected firms. The statement came after Russian President Vladimir Putin signed a decree on Thursday transferring control of multiple foreign assets to the Russian firm L.E.V. Management.

The affected operations include French retail giant Auchan, the former Russian business of home-improvement group Leroy Merlin — now trading as Lemana Pro — and several units of French logistics company FM Logistic, according to the French government. Swiss food conglomerate Nestle also falls under the order, though the mechanism does not constitute formal nationalization of assets.

Paris demands reversal

"France condemns the unjustified placement under temporary administration of the Russian subsidiaries of several French and European companies," the two ministries said in their joint statement, calling on Russian authorities to reverse the decision. Kremlin spokesman Dmitry Peskov defended the decree, stating the measure specifically concerns companies from countries Russia considers "unfriendly."

Nestle told reporters it was reviewing the decision to assess its impact on operations and employees, while Auchan had not issued an immediate comment by press time. Russia introduced temporary administration measures for foreign companies in 2023, applying similar tactics to French food group Danone and Danish brewer Carlsberg.