When Russia illegally attacked Ukraine, many were the multinational companies that withdrew from the attacking country. The reason was not only a form of protest, but not wanting to collaborate with the aggression in the form of financing it through the taxes paid in that country. Other brands, however, preferred to continue operating in Russia, many of them being included by the Ukrainian Government in a list of companies accused of sponsoring the war, a list in which Xiaomi has now been included.
The Ukrainian government has including Xiaomi on the list of companies sponsoring the war after learning that it has experienced a growth of 39% in the third quarter of 2022 in Russia. This is growth that comes with an increase in their income and therefore in the taxes they pay in the aggressor countrywhich in turn entails filling the coffers of the Russian government so that it can continue to meet the expenses derived from the war.
“While the Russians were shelling peaceful Ukrainian cities, Xiaomi managed to increase deliveries to the Russian Federation by 39% in the third quarter of 2022 compared to the previous one.
Thus, during 2022, Xiaomi doubled its market share and is now the leader in smartphone sales in the offending country. As of July 2022, Xiaomi and its sub-brand POCO together controlled 42% of the Russian smartphone market, ranking first in terms of sales.
According to official data, in 2021, Xiaomi’s Russian division received revenue of 202 million US dollars. These are huge funds, from which no less significant amounts of taxes are paid. Then, at the expense of these same taxes, the Russian army is supported, which is killing Ukrainians today.«
The truth is that the Chinese government already encouraged its companies not to be forced to join the vetoes proposed by third countries, so that Xiaomi remains in Russia should not surprise anyone. Xiaomi has responded to these accusations with a announcement which we reproduce below.
Xiaomi is a consumer electronics company that provides products for civil and commercial use only. We believe that all consumers in the world have the right to access information and communication tools on the Internet. We have consumer businesses in more than 100 countries and regions, and we adhere to all laws and regulations in all jurisdictions where we operate.
We are strongly against the accusation by the National Agency of Ukraine for the Prevention of Corruption (NACP) that we are “international sponsors of war”. We do not support any action of war. We fully embrace world peace. Our mission is to enable everyone in the world to enjoy a better life through innovative technologies.
