John Deere Suspends Shipments to Russia

by Suzanne Halliburton

Count John Deere as one of the major U.S. companies cutting ties with Russia because of the country’s invasion of Ukraine.

The company announced this week that it is no longer shipping its farming equipment to Russia and Belarus. Russian began its invasion two weeks ago, while Belarus has served as Russia’s chief ally.

John Deere officials said it made the move as soon as Russia began the conflict in Ukraine. The company then added Belarus, which has allowed Russian troops to stage in the country before heading to Ukraine.

John Deere Russia Decision at a Glance

  • Company stopped all its shipments to Russia and Belarus
  • John Deere has two plants in Russia. One is near Moscow, the other is 900 miles away.
  • Deere does have sales in Ukraine, which is one of the world’s largest suppliers of wheat.
  • Together, Russia and Ukraine represent about three percent of company sales.

In a statement to the media, a John Deere spokesman said: “The safety, welfare, and well-being of our employees in the region remain our top priority. And we continue to support and maintain close communication with our affected teams, providing necessary resources when possible.

“Our thoughts are with our employees, their families as well as our dealers, customers and all those impacted by this crisis.”

John Deere is based in Moline, Illinois. The company is the world’s biggest seller of farming machinery. It also operates two plants in Russia. The Wall Street Journal said one plant, in Orenburg, produces tillage and seeding equipment. This plant is about 900 miles southeast of Moscow. A second plant is in Domodedovo. It serves as a distribution center and is located on the outskirts of Moscow. John Deere officials said operations at the company are considered “day to day.”

John Deere has sales in Ukraine, but it has no plants. Ukraine is a major supplier of wheat to the world. The Washington Post reported that Ukraine and Russia, combined, account for about 30 percent of wheat, 17 percent of corn and more than half of sunflower seed oil exports to the world.

As for John Deere, the company tallies three percent of its sales from Russia and Ukraine.

A number of companies have cut off Russia as punishment for its invasion of Ukraine. Here’s a sampling:

Google announced that it would no longer do business in Russia, The company already had pulled its ads. In addition, Russians no longer will be able to access certain apps.

Amazon also has suspended all shipments to Russia. And has also cut off access to Prime Video, it’s streaming service.

Other companies that have made similar moves to John Deere include such classic American staples as McDonald’s, Coke and Pepsi.