Alcoa Corporation (NYSE: AA) disclosed that it has decided to stop business activities with Russia after it invaded Ukraine. Alcoa revealed that it will not sell products to Russian companies and also stop raw material buying from the country in response to the attack on Ukraine.
Alcoa is one of the first big Aluminium companies in the world to renounce Russia. Although Alcoa’s business is unaffected by the conflict in Ukraine, Chief Executive Roy Harvey told investors on Tuesday that the Pittsburgh-based company is considering what to do about Aluminium shipments to Russian enterprises.
The Russian Aluminium industry, which is one of the world’s top exporters of metal, has so far escaped sanctions. The Biden government is deferring immediate penalties against Russia for the time being, which may disrupt already scarce global supplies. According to executives and experts watching trade flows, Russian shipments of industrial metals are falling as purchasers and lenders pull back. According to the World Bureau of Metal Statistics, the global Aluminium market fell to a 1.9-million-ton deficit last year.
Furthermore, due to the current conditions, PayPal Holdings Inc decided to ban new customers in Russia on Wednesday. Following sanctions imposed by the US and other nations in reaction to Russia’s invasion of Ukraine, PayPal has already blacklisted some users and some of the country’s largest institutions. The action has been dubbed a special operation by Russia.