Russian Control over European Subsidiaries: A Response to Unfriendly Acts Against Russia.

The Russian government’s decision to take control of Italian and German subsidiaries in the country has sparked tensions between Russia and Western Europe. This move, which was signed by President Putin in an Executive Order, saw the subsidiaries, Ariston Thermo Rus and BSH Household Appliances, come under complete control of Gazprom’s Household Systems division.

The actions were backdated to Tuesday and were revealed on Friday as a response to unfriendly actions taken against Russia by the United States and other countries. In Italy, Ariston Thermo expressed surprise at the takeover of its subsidiary. The Italian Foreign Minister, Antonio Tajani, has asked for an explanation and clarification from the Kremlin on this nationalization move.

The European Union has also condemned the action, questioning its legality and calling on Russia to reverse its decision. The EU believes that this move by Russia is a clear violation of international law and rules. The conflict in Ukraine is not the only time that Russia has taken control of foreign assets as a form of retaliation against certain countries. This latest move with Italian and German subsidiaries is just another example of how Russia seeks to assert its control over foreign companies operating within its borders.