Russia’s seizure of the assets of a Japanese company could prove to be Tokyo’s red line after a series of bitter exchanges between both nations and ties that continue to spiral.
The Japanese government on Friday lodged a formal complaint with Russia and demanded that Moscow immediately reverse a decree announced the previous day that transferred the assets of Japan Tobacco International (JTI) to Russian control.
Analysts say the decree, signed by Russian President Vladimir Putin, is likely a calculated decision by Moscow, given that the Japanese government holds more than one third of the stocks in the company.