Potanin called the condition under which he will "cling" to the European market

Norilsk Nickel, which accounted for more than 50% of its revenue in Europe, is forced to reorient supplies to Asia and began to create new logistics centers. This is necessary to fight the "wind of sanctions"

Due to Western sanctions against Russian companies and goods that are not directly related to Norilsk Nickel, the manufacturer is forced to reorient part of its supplies to the markets of Asia and other friendly countries. The largest co-owner and president of the company, Vladimir Potanin, spoke about this in an interview with RBC.

“In order to fight this sanctions headwind, as I have repeatedly said, we need the so-called plan B, that is, the reorientation of our supplies, our partnerships to the so-called friendly countries,” the businessman said.

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The main products of Norilsk Nickel - nickel, platinoids and copper - are oriented to Western markets. More than half of the revenue (53%) last year came from Europe, another 15% from the US and South America, follows from the presentation of the company. At the same time, the share of Asia decreased from 35% to 27%. Back in March, Potanin told RBC that due to the refusal of some European ports to accept Russian goods, the company faced logistical problems in Europe, so it developed a “plan B”, which involved a reorientation to other markets in case sanctions were tightened. But then he emphasized that he was not considering this plan yet, because the main task was to gain a foothold in his existing markets.

Now the businessman claims that the company is doing a lot to reorient supply, starting with rebuilding its supply chains. “We have to create our own new logistics centers, in particular in North Africa, in the Emirates. We have to expand our own fleet,” he said.

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According to Potanin, an alternative supply chain is being built through the port of Tangier in Morocco. They are mainly aimed at deliveries to China and the markets of Southeast Asia. Despite the fact that it will be more expensive for the company than to Europe, it will begin to reorganize into these markets with more comfortable conditions.

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However, Norilsk Nickel should not completely withdraw from its traditional markets, Potanin is convinced. “Reorienting our supplies to other markets, again, I always say that we should not leave our traditional markets, we should fight for these markets, cling to them,” he is sure. “But when I say fight and cling, this implies that the behavior of our partners and the attitude towards us will be worthy.”