Business news from Ukraine

Business news from Ukraine

MARKET FOR NEW COMMERCIAL VEHICLES IN UKRAINE GROWS BY 6% IN JAN

Primary registrations of new commercial vehicles in Ukraine (including heavy trucks) in January 2021 grew by 6% compared to the same month in 2020, to 901 units, despite sales restrictions due to a two-week lockdown, according to the Ukrautoprom association.
At the same time, as in the previous year, Renault vehicles were leaders with sales growth of almost 36%, to 202 units and a market share of 22% (versus 17.5% in January 2020).
Peugeot was in the second position in the ranking (climbing from the third in January 2020) with registration of 97 vehicles (8% more), and Fiat was third (second a year earlier), which registrations fell by 36%, to 90 units.
Belarusian MAZ trucks increased sales by 22% compared to January last year, to 89 units, and this allowed them to improve their position in the ranking from fifth to fourth, and Ford was also in the top five of the month, with sales January 2020 amounting to 84 units.
According to the association’s statistics, sales of Chinese HOWO trucks rose significantly in January to 40 units compared to eight, and a significant drop was demonstrated by MAN trucks – 7 units versus 51 a year earlier.
In January, Russian brands were registered in Ukraine – GAZ (25 units), UAZ (8 units), KAMAZ (7 units), while Ukrainian KrAZs were not on the list.
The association also cites statistics on bus sales (including minibuses) in Ukraine in January: they grew by 7.1%, to 181 units.
The leader in this segment, as in January last year, was Citroen buses with a 3% increase in sales, to 67 units. Ukrainian Etalon buses with registration of 30 vehicles versus 21 units climbed to the second position in January 2020. At the same time, Ataman buses (manufactured by the Cherkasy Bus Plant), which ranked second a year earlier, dropped to the seventh line of the rating, with registrations falling by 67%, to 8 units.
The initial registrations of Belarusian MAZ buses increased 3.7 times, to 22 units, which allowed the brand to enter the top three, and ZAZ buses with 18 cars (three times more) were fourth.
Volkswagen was also in the top five leaders of the bus market (10 units), which in January 2020 did not register its buses.

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EUROPEAN TRAVEL INSURANCE FROM KIEV COLLECTS INSURANCE PREMIUMS IN AMOUNT OF UAH 182 MILLION

European Travel Insurance (Kyiv) in 2020 collected insurance premiums in the amount of UAH 182.440 million, which is 43% less than in 2019.
According to a press release from the insurer, if in 2019 the company insured 1.805 million tourists for the first time, then in 2020 some 825,328 people used its services. The net profit of the insurer after taxation according to the IFRS system in 2020 amounted to UAH 24.497 million.
According to the press release, 2020 has changed the attitude towards travel insurance and its individual types. Thus, there was an increased demand from both tour operators and individual tourists for insurance of financial risks in case of travel cancellation or interruption. If in 2019 such risks were insured by 22% of tourists, then in 2020 some 38% of the total number of insured.
In 2020, the company registered 8,924 insurance events with tourists, the total amount of insurance payments was UAH 68 million. In 2020, the ratio of events with tourists registered by the company also changed towards an increase in the share of requests due to the occurrence of an insured event due to cancellation/interruption of travel.
The total amount of payments in connection with cancellation/interruption of travel in 2020 stood at UAH 19.543 million, in 2019 – some UAH 15.673 million. In total, over the past year, 840 payments were made in connection with the cancellation or interruption of a trip, 498 such payments were in 2019.
The company also notes that the tourism industry is reporting a more than 70% reduction in tourism in 2020. Almost the same drop in international passenger air transportation (approximately 72% of the volume of 2019) is noted by the Ukrainian aviation business.

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NATIONAL BANK OF UKRAINE’S OFFICIAL RATES AS OF 05/02/21

National bank of Ukraine’s official rates as of 05/02/21

Source: National Bank of Ukraine

OFFICIAL RATES OF BANKING METALS FROM NATIONAL BANK AS OF FEBRUARY 5

Official rates of banking metals from national bank as of february 5

One troy ounce=31.10 grams

IMPERIAL TOBACCO LOSES APPEAL ON ANTIMONOPOLY COMMITTEE OF UKRAINE FINE

The Pivnichny (Northern) Economic Court of Appeals on February 2 rejected the complaint of Imperial Tobacco Ukraine and Imperial Tobacco Production Ukraine against the decision of the Antimonopoly Committee of Ukraine (AMCU) on a fine of UAH 460 million on suspicion of anti-competitive concerted actions of cigarette manufacturers and distributors.
“Imperial Tobacco Ukraine and Imperial Tobacco Production Ukraine will appeal the decision of the Court of Appeals in the Supreme Court. In addition, the companies are simultaneously preparing to transfer the case to the international investment arbitration, because it is becoming increasingly clear that in Ukraine foreign investors cannot count on a fair trial,” the group of companies said in a press release.
According to Imperial Tobacco, the decision of the court is the result of political pressure.
“Unfortunately, the appellate link of the judiciary has demonstrated the same bias and political bias as the court of first instance. This development of events gives another alarming signal to the community of foreign investors about the real state of legal proceedings in Ukraine,” the press service of the company said citing director general of Imperial Tobacco Rastislav Cernak.
The company clarified that the fine of UAH 460 million was paid in full the day after the loss in the court of first instance – July 21, 2020, in order to prevent the accrual of additional penalties and to avoid further pressure on the company’s operating activities from the AMCU.

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ALL UKRAINE’S NEIGHBORING COUNTRIES ENTER ‘RED’ COVID-19 ZONE

Ukraine’s neighboring countries are in the “red” zone for the situation with coronavirus (COVID-19) disease, according to data on the Health Ministry’s website on Friday.
Among the closest neighbors of Ukraine, the “red” zone includes, in particular, Slovakia (468.4 cases of COVID-19 per 100,000 population), Belarus (222), Poland (196.1), Russia (189.8), Romania (173), Hungary (163.8), and Moldova (172.3).
The “red” zone includes countries with an incidence rate per 100,000 population over the past 14 days higher than in Ukraine (142.3). In total 80 countries.
Portugal, Israel, Spain, Montenegro, the Czech Republic, Slovenia, the United States, Great Britain, Latvia, Lithuania, Sweden, France, the Netherlands, Switzerland, Italy, Belgium, Georgia, Austria, Germany, and Canada are also among the countries of the “red” zone.
The list of countries of the “green” zone includes, in particular, Turkey, Bulgaria, Finland, Greece, Japan, India, and Egypt.

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