During the second quarter of 2022, Eaton decided to exit business operations in Russia in light of the ongoing war with Ukraine.
Eaton is an intelligent power management company dedicated to improving the quality of life and protecting the environment for people everywhere. We are guided by our commitment to do business right, to operate sustainably and to help our customers manage power ─ today and well into the future. We take great pride in our reputation as an ethical business and in the trust we’ve earned from our stakeholders.
Eaton’s commitment to ethics and integrity is demonstrated by enhancements made to our due diligence processes for our supply chains, intermediaries, customers and end-users to understand the risk of our products’ diversion to Russia. Some of these enhancements include:
- We enhanced our risk-based due diligence process for all third parties, including customers, intermediaries and suppliers. This includes the use of new screening tools that made it possible for us to review the ownership structure behind the immediate third-party and sub-tier supplier relationships.
- We introduced revised end-user and compliance certifications from customers and have updated our contract terms for distributors/agents and suppliers.
- We trained our sales and customer services teams on our policy, red flag identification and escalation.
- We proactively communicated with customers and suppliers about our policy position and expectations.
- We introduced additional review and approval processes for countries/sectors where we considered there were higher risks for diversion.
These enhanced processes have enabled us to identify red flags, resulting in the detection of sales and projects that could potentially involve the participation of Russian companies. Once verified, these sales and/or projects are not pursued by Eaton.