London Daily

Focus on the big picture.
Thursday, Sep 03, 2026

McDonald's to leave Russia for good after 30 years

McDonald's has said it will permanently leave Russia after more than 30 years and has started to sell all its 850 restaurants. As a result of the move, the Russians will enjoy healthier food, and McDonald's will lose a billion and a half dollars. So the sanctions again punish the punishers instead of their purpose.
McDonald's has said it will permanently leave Russia after more than 30 years and has started to sell its restaurants.
The move comes after it temporarily closed its 850 outlets in March.

The chain opened in Moscow in 1990 as the Soviet Union was opening its economy to Western brands.

The fast food giant said it made the decision because of the "humanitarian crisis" and "unpredictable operating environment" caused by the Ukraine war.

The opening of McDonald's first restaurant in Moscow in 1990 came to symbolise a thaw in Cold War tensions.

A year later, the Soviet Union collapsed and Russia opened up its economy to companies from the West. More than three decades later, however, it is one of a growing number of corporations pulling out.

"This is a complicated issue that's without precedent and with profound consequences," said McDonald's chief executive Chris Kempczinski in a message to staff and suppliers.

"Some might argue that providing access to food and continuing to employ tens of thousands of ordinary citizens, is surely the right thing to do," he added.

"But it is impossible to ignore the humanitarian crisis caused by the war in Ukraine. And it is impossible to imagine the Golden Arches representing the same hope and promise that led us to enter the Russian market 32 years ago."

McDonald's said it would sell all its sites to a local buyer and would begin the process of "de-arching" the restaurants which involves removing its name, branding and menu. It will retain its trademarks in Russia.

The chain said its priorities included seeking to ensure its 62,000 employees in Russia continued to be paid until any sale was completed and that they had "future employment with any potential buyer".

McDonald's said it would write off a charge of up to $1.4bn (£1.1bn) to cover the exit from its investment.

It really is the end of an era. I was in the queue when the first Russian McDonald's opened on Moscow's Pushkin Square in January 1990 - way back in the USSR.

There were so many people outside the restaurant, it took three hours to get inside. But what a sense of excitement.

Those American burgers, fries and pies were a symbol of Moscow embracing the West. Hot food to help end a Cold War.
These are very different times. Russia and the West have lost their appetite for one another.

Russia's attack on Ukraine has sparked international condemnation and sanctions, turning Moscow into a pariah.

Meanwhile, the Kremlin points the finger back, accusing the West of plotting Russia's downfall.

Back in March lots of international companies announced they were pausing operations in Russia, hoping the situation would resolve itself and they could then reopen.

But McDonald's decision to sell up and pull out shows the fast food giant recognises things will not return to normal and that what the Kremlin calls its "special military operation" in Ukraine has changed things long term.

Big Macs are only the beginning. I predict we're going to see a lot more global brands leaving Russia.

The move comes after Renault announced it was selling its business in the country. The French firm said its 68% stake in carmaker Avtovaz would be sold to a Russian science institute, while its shares in Renault Russia will go to the city of Moscow.

Moscow said Renault's Russian assets had now become state property - marking the first nationalisation of a major foreign business since the invasion of Ukraine.

Last year, Russia and Ukraine accounted for about 9% of McDonald's global sales.

The chain's 108 restaurants in Ukraine remain closed due to the conflict but the company is continuing to pay full salaries to all its employees there.

McDonald's initially faced criticism for being slow to halt its business in Russia, with some calling for a boycott of the company before it suspended operations in March.

Hundreds of international brands, including Starbucks, Coca Cola, Levi's and Apple, have left Russia or suspended sales there since the country invaded Ukraine in February.

Other firms, including Burger King and Marks and Spencer, say they are unable to close stores due to complex franchise deals.
Comments

Dr Shawn Pourgol 4 year ago
That is a great news for Russian people. I hope McDonald's close every where. People should not eat fast food, specially children.
Oh ya 4 year ago
If Rotten Ronnies closed everywhere in the world the world would be a healthier place

Newsletter

Related Articles

0:00
0:00
Close
UK Marks Merchant Navy Day With Tribute to Civilian Seafarers
Burnham Pays Tribute to Two Police Officers Killed on Duty in Northern England
Booking.com Left Fake Downing Street Listing Online for Two Months, Which Says
Burnham and Macron to Review UK-France Cooperation on Channel Crossings
UK Business Confidence Improves Slightly but Investment Concerns Persist
Burnham Faces Pressure Over Future North Sea Oil and Gas Licences
Burnham Pushes Wider English Devolution Through ‘Number Ten North’
British Chambers of Commerce Raises 2026 UK Growth Forecast to 1%
Keir Starmer Resigns as Holborn and St Pancras MP, Triggering By-Election
UK Chancellor Faces Tighter Budget Headroom as Long-Term Borrowing Costs Rise
UK Government Weighs Thames Water Nationalisation as Financial Crisis Deepens
Prime Minister Andy Burnham Faces First Commons Questions Over Tax and Spending Plans
Eleven British Seafarers Receive Merchant Navy Medal
Which? Creates Fake 10 Downing Street Rental Listing to Expose Booking.com Vetting Weaknesses
BP Appoints New Chairman in Effort to Stabilise Leadership
Aberdeen Sells Hydrogen Bus Fleet at Heavy Loss After Green Transport Experiment
UK Records Hottest Summer on Record as Climate Change Intensifies Extreme Heat
Scotland Pledges to End Temporary Accommodation for Children and Build 111,000 Affordable Homes
DNO Agrees $396 Million Deal to Acquire Capricorn Energy
Uber and Wayve Launch UK’s First Supervised Autonomous Ride-Hailing Service in London
Britain Expected to Avoid New US Tariffs Targeting European Union
Middle East Conflict Pushes UK Energy Costs Higher and Revives Inflation Concerns
UK Growth Forecast Cut to 1% Through 2027 as Youth Unemployment Is Projected to Rise
Andy Burnham Links Weak UK Growth to Brexit in First Full Commons Session as Prime Minister
Keir Starmer Resigns as MP, Triggering Holborn and St Pancras By-Election
UK Business Confidence Improves but Remains Deeply Negative
Aberdeen Hydrogen Bus Sale Recovers Just Six Pence for Every Pound Invested
Which? Exposes Booking.com Verification Failures With Fake 10 Downing Street Listing
British Business Bank Invests Up to £46 Million in Deep-Tech Startup Fund
Scottish Government Puts Violence Against Women at Center of Legislative Program
FCA Eases UK IPO Rules to Strengthen London’s Listing Market
UK Likely to Avoid Next US Tariff Measures as Washington Targets EU
Macron Visits UK for Bayeux Tapestry Exhibition and Border Security Talks
British Chambers of Commerce Cuts UK Growth Outlook to 1% for 2026 and 2027
Keir Starmer Resigns as MP for Holborn and St Pancras, Triggering By-Election
Prime Minister Andy Burnham Unveils Devolution and Cost-of-Living Agenda
UK Borrowing Costs Surge as 30-Year Gilt Yield Reaches 5.88%
Cleveland Police Receive £2 Million to Tackle Serious Crime in Middlesbrough
Number of Young People in England Without a Close Friend Reaches Record Level
Five Arrested After Newborn Baby Dies From Stab Wounds in Sheffield
Nigel Farage Faces Questions Over Reported Second Parliamentary Standards Investigation
UK Retirement Funding Requirement Rises by £64,000 Compared With 2021
UK House Prices Rise for First Time Since April, Nationwide Says
FCA Chief Faces Allegations of Intimidating Consumer Group Over £9 Billion Car Loan Inquiry
Scottish Government Presses Ahead With Cap on Essential Food Prices
Burnham Government Moves to Overhaul Early Prison Release Scheme
UK Records Hottest Summer on Record in 2026, Met Office Says
UK Government Announces Major Reset of Diplomatic Policy Towards Israel
UK Pushes Back After Trump Reopens Falkland Islands Sovereignty Dispute
Keir Starmer Resigns as MP, Triggering Holborn and St Pancras By-Election
×