(Reuters) – Alibaba Group Holding (NYSE:) Group Holding laid off approximately 40% of its Russian Joint Venture staff as the current Ukraine crisis affects cross-border commerce, it was announced Friday.

Unfortunately, the Chinese ecommerce giant couldn’t be reached immediately to comment.

According to a source familiar with the situation, the report stated that it wasn’t clear whether there would be any more layoffs after certain laid-off employees had left voluntarily. Some were relocated.

According to the report, the commercial division was the most affected.

AliExpress Russia is a joint venture between Alibaba and Russian partners that operates both domestic and international transactions.

Cross-border sales account for over three quarters of the company’s business. The company has not been able to take advantage of ecommerce booms that have resulted from pandemics and as new travel restrictions are implemented, it is taking longer to reap the benefits.

It was also affected by the effects of the Russia/Ukraine war.