Alibaba Downsizes Russia Joint Venture Workforce By 40% Amid Geopolitical, Regulatory Uncertainty

Alibaba Group Holding Limited's BABA joint venture in Russia has laid off about 40% of employees, Nikkei Asia reports.
It was not clear if there would be more layoffs after some of the laid-off staff chose to leave voluntarily and a few relocated, Reuters reports.
Alibaba and Russian partners launched AliExpress Russia joint venture in 2019, which operates domestic and cross-border transactions.
Alibaba depends on cross-border sales for more than 75% of its business and has been slower to benefit from a pandemic-led e-commerce boom as supply chains adjust to new travel curbs.
Alibaba was also affected by the fallout from the Russia-Ukraine war.
The layoff was due to the invasion of Ukraine as the war severely disrupted cross-border business.
Previously reports of a significant job cut in Alibaba were doing the rounds.
Alibaba continued its restructuring activities as planned and international diversification amid the uncertain domestic regulatory environment.
Price Action: BABA shares traded higher by 6.99% at $86.76 on the last check Friday.