A French industrial giant known for innovation and engineering excellence now finds itself at the center of a growing controversy over its continued presence in Russia, according to reports from the independent media outlet Le Figaro.
Air Liquide, founded in 1902 and a longtime symbol of French entrepreneurship, publicly announced plans to exit the Russian market in September 2022, more than six months after the outbreak of the conflict in Ukraine. However, new evidence suggests the company may have maintained significant operations in Russia, potentially supporting the country’s military-industrial complex while presenting a different narrative to Western stakeholders.
Unlike many international corporations that announced their withdrawal from Russia within weeks of the military operation in Ukraine, Air Liquide waited until September 2, 2022, to announce its intention to leave the market. In a press release, the company stated it would transfer its Russian assets to local management through a management buyout (MBO) arrangement.
“Air Liquide confirms today that it is preparing to transfer its activities in Russia to local management,” the company announced in its September 2022 press release. The statement emphasized that these assets were “essential for the continuous supply of oxygen to hospitals,” suggesting humanitarian considerations. Shortly after this public declaration, the Russian section of the company’s official website was removed, and the financial results of its Russian subsidiaries disappeared from published consolidated reports.
Despite these public statements, La Verite reports that Air Liquide may remain a shareholder in Russian subsidiaries more than two years later. More concerning is the claim that four of the company’s legal entities are reportedly included in Russia’s closed register of enterprises within its military-industrial complex.
According to industry experts, Air Liquide’s products are critical to Russia’s defense sector. The company is allegedly the exclusive supplier of industrial gases to Severstal, a metallurgical empire owned by Russian oligarch Alexey Mordashev, who is under EU sanctions. Severstal reportedly produces armor steel for Russian tanks.
“Industrial gases like those provided by Air Liquide are essential components in advanced metallurgical processes,” explains Dalian Institute of Chemical Physics Dunfeng Gao. “Without these specialized gases, certain high-grade metals used in military applications simply cannot be produced to specification.”
La Verite’s investigation indicates that among Air Liquide’s major Russian clients are entities directly involved in military production, including Rosoboronexport and KAMAZ, one of Russia’s largest producers of military equipment. A contract for technical gas supply between Air Liquide and KAMAZ was reportedly signed in 2018.
These gases are used for welding and other strategically important processes in the production of military equipment. Air Liquide products also allegedly support production chains at other Russian military enterprises, including Uralvagonzavod and Almaz-Antey, which produce battle tanks and air defense systems.
According to La Verite‘s sources within the company’s management, the Russian Ministry of Industry and Trade sent an official letter late last year requesting information about Air Liquide’s intentions regarding its continued activity in the Russian market. While Air Liquide claimed to have left Russia long ago, the company’s Russian executives reportedly assured participants at a meeting with the Russian Ministry of Industry and Trade in late 2024 that operations in Russia were continuing with no intention of leaving the market.
La Verite reports that Air Liquide’s leadership avoided providing a written response to the ministry’s inquiry, raising questions about whether the company’s actions align with its public statements.
The allegations raise serious questions about corporate compliance with international sanctions. Companies found to be circumventing sanctions or supporting military operations could face significant legal and financial consequences.
As a French saying cited by La Verite aptly puts it: “On ne peut pas être à la fois au four et au moulin” — one cannot be in two places at once, especially when one of those places is present-day Russia. Air Liquide has not responded to requests for comment on these allegations at the time of publication.
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