Business news from Ukraine

Business news from Ukraine

Number of refugees from Ukraine in selected countries as of 31.10.2024

Number of refugees from Ukraine in selected countries as of 31.10.2024

Source: Open4Business.com.ua

Ukraine reduced tractor imports by 34% in early 2025

Imports of tractors to Ukraine in January this year amounted to $43.87 million, which is 34% less than in the same month in 2023, according to statistics from the State Customs Service.

According to the statistics released by the agency, tractors were mainly imported from China (21.2% of total imports of this equipment, or $9.3 million), Germany (5.5%, or $12.4 million), and the United States (10.7%, or $4.7 million), while a year earlier it was Poland (19.5%), Germany (19.3%), and the Netherlands (11%).

According to the statistics, in January, tractors were exported for $0.56 million against $0.3 million a year earlier, mainly to Zambia (41.4%), Romania (36.2%), and the Czech Republic (14%).

Imports of tractors to Ukraine in 2024 amounted to almost $784 million, down 5.6% from a year earlier, while exports amounted to $5.44 million against $5.74 million.

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Consumption of rolled steel in Ukraine increased 2.16 times in January

In January this year, Ukrainian enterprises increased their consumption of rolled metal products by 2.16 times compared to the same period last year, up to 297.1 thousand tons.

According to a press release from Ukrmetallurgprom, 103 thousand tons, or 34.67% of the domestic rolled metal consumption market, were imported during this period.

According to Ukrmetallurgprom, in January, steelmakers produced 480.2 thousand tons of rolled steel (up 7.2% year-on-year), of which, according to the State Customs Service of Ukraine, approximately 286.1 thousand tons, or 59.6%, were exported. In January 2024, the share of exports amounted to 88.4% (400.3 thousand tons with a total production of 453 thousand tons of rolled steel).

The share of semi-finished products in export deliveries in January 2025 was 28.21%, which is half the figure for January 2024 (55.65%). The share of flat products in export deliveries in January this year significantly exceeded the same period last year – 54.35% and 33.55%, respectively. The share of long products is also significantly higher this time: 17.44% in January 2025 compared to 10.80% in the same period in 2024.

The structure of imports in January 2025 is still characterized by a significant dominance of flat products over long products (86.50% and 10.78%, respectively); in January 2024, the dominance of flat products over long products was also significant (83.90% and 15.16%, respectively).

“In January 2025, the domestic market capacity amounted to 297.1 thousand tons of rolled steel, of which 103 thousand tons, or 34.67%, were imported. In January 2024, the domestic market capacity was 137.8 thousand tons, of which 85.1 thousand tons, or 67.76%, were imported. Thus, in January 2025, there was an increase in the domestic market capacity by 115.61% compared to January 2024, while the share of the import component decreased by 27.09%,” the press release states.

According to the State Customs Service, the main export markets for Ukrainian rolled metal products in January 2025 are the European Union (69.6%), the rest of Europe (12.4%) and Africa (7.7%).

Among metallurgical importers in January 2025, the first place is occupied by other European countries (61.3%), followed by the EU-27 (24.7%), and the third – by Asian countries (13.8%).

As reported, Ukraine’s rolled steel market in 2024 decreased by 6.26% year-on-year to 3 million 288.4 thousand tons, while in 2023 it increased 2.19 times compared to 2022 to 3 million 505.6 thousand tons.

German robot manufacturer ARX Robotics opens office in Ukraine

The German defense tech company has opened an office in Ukraine and plans to transfer part of its production and development processes to the Ukrainian office, said Oleksandr Borniakov, Deputy Minister of Digital Transformation for IT Development.

“European robot manufacturer ARX Robotics has opened an office in Ukraine and joined Diia City. This is a German defense tech company that creates autonomous robots for use in both military and commercial areas,” Borniakov wrote on Facebook on Wednesday.

According to him, ARX Robotics plans to transfer part of its production and development processes to the Ukrainian office.

He emphasized that the company’s accession to Diia.City is one of the strategic and important decisions for the company’s full entry into the Ukrainian market.

According to Mr. Borniakov, ARX Robotics’ developments are known all over the world, and in the near future they will be used by the Ukrainian military.

As an example of ARX Robotics’ developments, the Deputy Minister mentioned GEREON RCS, a multipurpose tracked modular platform that delivers food and ammunition and evacuates the wounded.

ARX Robotics is a German company founded in 2022 that specializes in the development of autonomous modular unmanned ground systems and advanced digital solutions for military and commercial applications. Among its well-known developments is the Mithra OS, an independent operating system based on artificial intelligence that turns military vehicles into smart, interconnected and autonomous units.

In May 2024, ARX Robotics entered into a strategic partnership with Quantum Systems to jointly develop unmanned systems aimed at supporting Ukraine and introducing technological innovations.

Imports of passenger cars to Ukraine decreased by almost 18% in January

In January 2025, imports of passenger cars, including cargo and passenger vans and racing cars (UKT FEA code 8703), decreased by 17.8% in monetary terms compared to January last year to $333.97 million.

According to customs statistics released by the State Customs Service of Ukraine, the top three countries from which cars were imported were Germany, the United States and Japan.

In particular, imports of cars from Germany increased by 39.6% to $74.64 million, and their share in the structure of car imports amounted to 22.35% against 13.15% a year earlier.

Cars from the United States were imported for $62.51 million (12% less); from Japan, which last year was not among the top three countries with the largest car imports, they were imported for $41.71 million.

At the same time, China was not among the top three in January 2025, with imports from it amounting to $70.7 million in January last year (second place after the United States).

In general, imports of passenger cars from other countries amounted to $155.11 million in January 2025, while a year earlier it was $211.35 million.

At the same time, last month, Ukraine exported such vehicles for $1.09 million, while a year earlier – for $0.76 million, in particular, 90.5% of exports were to the UAE, 3.78% – to Germany, 3.13% – to Moldova, while in January-2024 it was Canada (52.4%), the United States (26.8%) and Germany (7.2%).

As reported, in 2024, Ukraine imported passenger cars worth $4.385 billion, 8% more than a year earlier, and exported $10.1 million (2.7 times less).

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Nestlé has invested UAH 900 mln in factories in Ukraine, increasing exports by 76%

In 2024, Nestlé in Ukraine invested more than UAH 900 million in three of its factories, which allowed the company to increase production efficiency and increase exports by 76%, according to a release.

“In 2024, the company invested more than UAH 900 million in the development of its three factories in Ukraine. The investments were focused on employee safety solutions, automation and digitalization of production processes and production lines, employee training and development, improvement of working conditions and infrastructure of production facilities, and technological solutions to reduce the carbon footprint,” the statement said.

The company noted that last year, thanks to investments, while maintaining supplies to 28 countries, it was able to significantly increase its exports: by 76% in volume and 128% in hryvnia equivalent.

“In 2024, the FMCG market in Ukraine grew by slightly less than 10%, including due to volumes. Nestlé also plays a role in this growth. We have similar growth with a focus on volume growth, which can be estimated at 7-8%, which is a consequence of our strategy. We have completely redesigned our portfolio, following consumer trends, and adjusted our promotional activities in line with the market situation,” emphasized Alessandro Zanelli, CEO of Nestlé in Ukraine and South-Eastern Europe.

The company cited the launch of a new line of Street Food sauces under the Torchyn brand as an example of its adaptability to consumer needs in times of war, when there is a lack of outdoor activities. This product category was created with an emphasis on the development of street food dishes, the company said in a statement.

In addition, Nestlé in Ukraine continues to produce products to help Ukrainians affected by the war. Since the beginning of the full-scale war, as of the end of 2024, the company has donated more than UAH 1.3 billion in aid, including food donated through charitable foundations for civilians and the military, as well as cash contributions to support, among others, the UNBROKEN and Superhumans rehabilitation centers.

Nestlé is one of the world’s largest food and beverage companies with operations in 187 countries. It offers a wide range of products and services for families and pets. It has more than 2000 trademarks.

Nestlé started its operations in Ukraine in 1994 with the opening of a representative office, acquired a controlling stake in CJSC Lviv Confectionery Factory Svitoch in 1998, and since 2018 has owned 100% of the company’s shares.

In 2010, Nestlé SA acquired Technocom LLC in Kharkiv, a manufacturer of fast food products under the Mivina brand. In 2012, Nestlé Business Service (NBS Europe) was established in Lviv, which is one of seven Nestlé service centers in the world and provides support services to Nestlé divisions in more than 40 countries.

Nestlé’s business in Ukraine is represented by the following areas: coffee and beverages, confectionery, cooking (cold sauces, condiments, soups, convenience foods), baby and specialty foods, breakfast cereals, and pet food.

In 2025, the company plans to open a new factory in Smolyhiv, Volyn region, which is currently in the final stages of construction. It is expected that 80% of the products manufactured at the new factory will be exported to the EU.

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