Business news from Ukraine

HOUSEHOLDS DOUBLE INSTALLATION OF ROOF SOLAR STATIONS IN UKRAINE IN Q2

Ukrainian households installed 1,107 roof solar power stations in the second quarter of this year, which is twice as high as in the first quarter of 2018, the State Agency on Energy Efficiency and Energy Saving of Ukraine has reported. “In general, 4,660 private households installed solar panels with a total capacity of almost 90 MW as of the end of the first half of 2018. Investments amounted to about EUR88 million,” the report said.
According to the agency, the leaders in the number of “household” solar stations are Kyiv, Dnipropetrovsk, and Ternopil regions.

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ANTONOV, U.S. AVIALL PLAN TO COMPLETE OF DESIGNING OF COOPERATION SCHEME STEP BY STEP

Antonov State Enterprise (Kyiv), part of the Ukroboronprom State Concern, and division of U.S. Boeing – Aviall Services, Inc., which reached an agreement on partnership under the program to manufacture modernized Ukrainian next generation regional jets An-148/158/178 at Farnborough 2018 in London in July, plan to complete the designing of a cooperation scheme step by step during the implementation of the general agreement on cooperation.
Commenting at the request of Interfax-Ukraine on the plans Antonov State Enterprise announced in Western media to resume mass production of the planes with the assistance of Boeing already by the end of 2019, the company’s press service said: “The general agreement signed at Farnborough 2018 with Aviall does not have the terms of the start of the mass production of the aircraft with participation of the U.S. company, since the U.S. company is not involved directly in the production process.”
“The signed agreement is the basic one, and fixes agreements on the organization of work with Aviall Services, Inc., which will ensure the procurement and supply of the Antonov state enterprise with a wide range of components for the mass production of new aircraft,” the press service said.
“The document also includes the plans of the parties for the creation of a licensed warehouse by the Antonov state enterprise in its territory, where Aviall will supply the components. The products supplied by the U.S. company will be paid by Antonov State Enterprise as far as the chain of purchases for filling the warehouse is secured. As the media mistakenly interpreted, there is also no provision in the signed general agreement that Boeing participates in the creation of the warehouse,” the press service said.
The press service of Antonov State Enterprise reported that the creation of a scheme for prospective cooperation with Aviall Services Inc. was not completed at this stage: “Details of this process will be specified at each stage of cooperation,” the official representative of the enterprise said.
“Details of the prospective partnership between Antonov State Enterprise and the Boeing division under the program, which has the conventional name An-1X8 NEXT in the signed general agreement, can be announced after the signing of the contracts for the supply of components and the transition to the practical phase of cooperation under the project,” the press service said.

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MARKET OF GREEN CARD INTERNATIONAL INSURANCE GROWS IN UKRAINE

The number of Green Card international insurance contracts signed by the members of the Motor (Transport) Insurance Bureau of Ukraine (MTIBU) in January-June 2018 increased by 5.64% compared to the same period in 2017, to UAH 338,318, according to the bureau’s website. The amount of accrued insurance premiums increased by 26.59%, to UAH 642.4 million.
The amount of claim fee payments for January-June fell by 0.38%, to almost EUR 5.98 million.
The number of paid claims increased by 3.53% to 2,609.
The MTIBU is the only association of insurers that carry out compulsory insurance of vehicle owners’ civil liability for harm caused to third parties. Its members are 56 insurance companies, in particular full members of the bureau that have the right to sign Green Card contracts are nine companies.

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NEW COMMERCIAL CARS MARKET IS STILL GROWING IN UKRAINE

The market of new commercial vehicles in Ukraine (including heavy trucks) in January-July 2018 increased by 17% compared to the same period in 2017, to 7,300 units, according to the Ukrautoprom association. Thus, following the results of seven months, the market reduced its growth rates (in January-May the growth from the same period of 2017 was 22%, in January-June some 24%).
This situation is associated with a fall in sales of commercial vehicles in July this year by 18% from July 2017 and by 25% from June this year, to 928 units.
The highest demand in the July market (like in June) was recorded for Renault cars, which occupied almost 23% of the market with the registration of 211 vehicles (18% more than in July last year). Fiat ranked second with 109 registrations, which is 36% more than last year’s July figure, and Mercedes-Benz ranks third with a reduction of 31% and with 83 vehicles sold. According to the association, the Ukrainian auto brand ZAZ ranks 13th with 21 cars (against 15 units in July of last year and 13 in June of the current year), KrAZ, as in last year’s July, sold 13 trucks. At the same time, Russian brands UAZ (22 cars against 11 in July 2017) and KAMAZ (20 against 10) increased their registration, while GAZ more than halved sales, to 60 units. Belarusian MAZ in July also significantly reduced sales from July of last year, by 55.8%, to 42 vehicles.

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UKRAINE’S FOREIGN TRADE (EXPORT OF GOODS) IN JAN-MAY, 2018

Foreign trade operations were conducted with partners from 210 countries. The ratio of coverage of imports by exports in Ukraine was 0.9.
The deficit of Ukraine’s foreign trade in goods in January-May 2018 increased by 1.4 times compared with January-May 2017 and amounted to $2.055 billion, the State Statistics Service has said.
Russia is still on the first place among main export markets for Ukrainian goods (7,8% of all trade volume), 4 years ago a share of Russia was more than a quarter of all Ukrainian export..
The second goes Poland (7,0%), the third one is Turkey (6,2%).
Also in top-ten export destinations are Italy, India, China, Germany, Egypt, Hungary, the Netherlands. The USA is the 13-th export market of Ukraine, the UK and France are not presented even in top-20 of the main markets for Ukrainian goods.

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UKRAINE INTERNATIONAL AIRLINES TO LAUNCH FLIGHTS FROM KYIV TO GOA AND DOMINICAN REPUBLIC

Ukraine International Airlines (UIA) from October 25, 2018 will launch direct flights from Kyiv to La Romana (the Dominican Republic) and from December 27 – to Goa (India). According to the press service of the airline, flights to the Dominican Republic will be serviced on Mondays and Thursdays with an interval of ten days. UIA also optimizes the winter season schedule for 2018/2019.
In particular, since December 20, the airline will increase the frequency of flights between Kyiv and Bangkok to six a week, Kyiv and Istanbul – up to three daily flights. At the same time, the intensity of flights between Kyiv and Almaty will be reduced from seven to four, and between Kyiv and Astana – up to three flights a week.
“In the winter, the frequency will be slightly reduced on such European destinations from Kyiv as Larnaca, Venice, Athens, Barcelona, Madrid, Rome, Frankfurt, Brussels, Riga, Vilnius, Stockholm, Helsinki, London, Copenhagen, Ankara, Milan (Bergamo), Prague and Vienna, the frequency of long-haul flights to Beijing and Toronto will be reduced by one and two flights a week, respectively,” the press service of the airline said.
Also, a slight reduction in the number of flights to Tel Aviv, Baku, Yerevan, Tbilisi, Amman and Tehran is planned.
From the regions of Ukraine, there will be less direct international flights from Ivano-Frankivsk to Valencia and Alicante, and also from Lviv to Madrid.
One flight a week less will be serviced from Kyiv to Kharkiv and Lviv.
UIA was founded in 1992. According to the National Commission for Securities and the Stock Market and the state register, 100% directly or indirectly is controlled by Cypriot-based Ontobet Promotions Limited which beneficiaries are not disclosed.

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