US Secretary of State Marco Rubio has hinted that Glavprodukt’s seizure may be discussed during negotiations to normalise US-Russia relations. The company was confiscated by Russian authorities in March following a court order, accusing its owner Leonid Smirnov of moving 1.38 billion roubles out of the country between 2022 and 2024.
Smirnov denies any wrongdoing, calling it a “Russian-style corporate raid”. He has urged former US President Donald Trump to help save his $200 million business, which he claims is being destroyed on a daily basis. The company employs 1,000 people across three factories and has lost around 30% of its value since its seizure.
Glavprodukt’s assets were initially frozen after the October seizure, with the US seizing its Russian assets in response. However, Smirnov says he was forced to appoint a new Russian director following pressure from a company called Druzhba Narodov. The move has further exacerbated Glavprodukt’s financial struggles, which began when the company started making losses for the first time in its history.
Source: https://www.telegraph.co.uk/world-news/2025/04/17/russia-to-feed-its-troops-using-company-seized-from-us