Business news from Ukraine

Business news from Ukraine

STATE-RUN UKRZALIZNYTSIA PLANS TO LEASE CARGO TERMINALS

Ukrzaliznytsia is planning pilot projects for the long-term lease of cargo terminals.
“We are planning several pilot projects related to the long-term lease of our assets, such as cargo terminals. We want to create centers with international players on the basis of cargo terminals,” Ukrzaliznytsia head Volodymyr Zhmak said during the All-Ukrainian Forum Ukraine 30.Infrastructure on Tuesday.
According to him, these projects will also create an opportunity of additional employment. The company really plans to optimize staff, but primarily at the expense of administrative and managerial staff, Zhmak said.

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UKRAINE BOOSTS EXPORT OF METAL STRUCTURES BY HALF IN 2020

By the end of 2020, Ukrainian manufacturers of metal structures increased production by 6.5% compared to 2019, to 147,000 tonnes, according to a report of the Ukrainian Steel Construction Center (USCC).

“Key manufacturers of metal structures have increased production, and the number of metal imports to Ukraine has also increased. The influence of the commercial sector – nonresidential construction has decreased, but at the same time we note a significant increase in infrastructure construction. For example, in Poland, 50% of orders are exactly infrastructure, and we are going exactly in this direction,” Executive Director of the USCC Viacheslav Kolesnik said at the IX National Conference of Steel Construction Market Participants held in Kyiv on Tuesday.

According to him, quarantine restrictions did not significantly affect the results of the enterprises. Consumption of metal structures increased due to state-funded programs and projects Big Construction, Roads to Borders, Travel around Ukraine, Small Carpathian Ring, the program of restoration of bridges, etc.

“Shipments in the segment of road safety fence have significantly increased. More than 16,000 tonnes of metal were shipped to the Zaporizhia Bridge alone,” Kolesnik said.

At the same time, Ukraine follows the European trend of increasing the specific share of large manufacturers of metal structures – in 2020, the share of enterprises that produced more than 5,000 tonnes of products grew by 5% and amounted to 48% of the total.

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CHAIRMAN OF UKRAINIAN PARLIAMENT MEETS WITH CHINESE AMBASSADOR FAN XIANZHUAN

Chairman of the Verkhovna Rada of Ukraine Dmytro Razumkov met with Ambassador of the Republic of China to Ukraine Fan Xianzhuan on Tuesday, the press service of the Rada apparatus said.

During the meeting, the sides reportedly paid attention to the discussion of economic cooperation between the two countries. Razumkov stressed that Ukraine invariably supports the position of comprehensively deepening relations with China.

“Few countries can boast of economic growth in the past year. China’s economy was the first to be hit by the coronavirus, but you have successfully passed this challenge,” the speaker said. He also thanked China for its assistance to Ukraine in the fight against the COVID-19 pandemic.

STATE AUTOMOBILE ROADS AGENCY OF UKRAINE PLANS TO RESTORE 150 BRIDGES DURING ONE YEAR

The State Automobile Roads Agency of Ukraine (Ukravtodor) plans to restore 150 bridges in 2021.
“The plan for 2021 is 150 bridges. By 2025 we will update at least 20 bridges in each region,” according to the presentation of Head of Ukravtodor Oleksandr Kubrakov at the Ukraine 30. Infrastructure forum on Tuesday.
According to the presentation, in 2020, Ukravtodor outstripped the target of the National Program for the Restoration of Bridges, restoring 158 structures compared with 100 bridges planned.
According to Ukravtodor, more than 80% of artificial structures in Ukraine were built before 1980. In total, there are 16,155 artificial structures in the country, of which 5,845 are on state roads and 10,310 on local roads. To date, only 73% of bridges have been examined.
At the same time, Director of the Road Development Department of Ukravtodor Andriy Ivko said that the priority program for restoration indicated 895 bridges requiring urgent repair. Another 169 are close to emergency condition, and their renewal is a matter of national security.

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UKRAINE LAUNCHES ANTI-DUMPING PROBE INTO IMPORT OF CHIPBOARD FROM BELARUS, RUSSIA

The Interdepartmental Commission on International Trade (ICIT) has initiated an anti-dumping investigation into the import of wood chipboard originating from the Republic of Belarus and the Russian Federation to Ukraine.
The decision of the commission made on February 16, 2021 on the initiation of an investigation comes into force from the moment of its publication, indicated in the report published in the Uriadovy Kurier newspaper dated February 20.
According to the report, the commission received a corresponding complaint from Svisspan Limited LLC (Kostopil, Rivne region)
According to the applicant, during the study period (H2 2017 – H1 2020), the share of dumped chipboard imports from Belarus and the Russian Federation exceeded half of the total imports, while the share of consumption ranged from 6.8% to 12.29% , in relation to production – from 5.03% to 11.72%. At the same time, the prices of dumped imports were significantly lower than the applicant’s price level for the entire study period and below the cost price level in H2 2019 – H1 2020.
Analysis of the dynamics of the main indicators of the applicant’s financial and economic activities during the study period showed a decrease in sales volumes, a loss of market share with an increase in consumption in the domestic market, a decrease in production volumes and deterioration in other financial indicators.
Having considered the complaint, the ICIT came to the conclusion that the import of chipboard from Belarus and the Russian Federation to Ukraine could be carried out at dumping prices and the level of the dumping margin cannot be considered minimal, and the volume of imports cannot be considered insignificant. The commission also said that the chipboard originating from these countries into Ukraine was imported in such volumes and on such conditions that it may harm the national manufacturer.
The investigation concerns wood chipboard, with the exception of chipboard panels covered with decorative laminated plastic, which are classified according to the Ukrainian Foreign Economic Activity Commodity Nomenclature as 4410 10 11 10 00, 4410 11 30 00 and 4410 11 90 00.
The Ministry for Development of Economy, Trade and Agriculture has been charged with carrying out the anti-dumping investigation. Interested parties are registered within 30 days.
Swisspan Limited is one of the leaders in the production of furniture boards in Ukraine, specializing in the production of sanded and laminated chipboards of its own trademark Swisspan by Sorbes. The company was founded in 2003 by the Swiss group Sorbes AG and, in addition to Swisspan Limited, owns LK Interplyt Nadvirna in Ivano-Frankivsk region, as well as the Repo Vabrikud plant in Estonia.

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MAIN TRADE PARTNERS OF UKRAINE IN % FROM TOTAL VOLUME (EXPORT FROM UKRAINE TO OTHER COUNTRIES) IN JAN-NOV OF 2020

Main trade partners of Ukraine in % from total volume (export from Ukraine to other countries) in Jan-Nov of 2020.

SSC of Ukraine

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