Business news from Ukraine

Business news from Ukraine

Carriers in Serbia and Western Balkans plan to block borders with EU starting September 14

According to The Serbian Economist, Serbian truckers, together with their colleagues from Montenegro, Bosnia and Herzegovina, and North Macedonia have announced their intention to begin blocking freight border crossings into the European Union starting September 14, 2026, if a solution to the issue of professional drivers’ stay in the Schengen Area has not been found by that time.

This was reported by the Serbian association of international carriers, “Međunarodni transport.” According to the association, drivers from the Western Balkan countries continue to be detained, deported, and turned back at the borders for exceeding the permitted length of stay in the Schengen Area. The association claims that several dozen Serbian drivers are turned back at the borders every day, and there have been more than 50 such cases in the past week alone.

Before the blockade begins, the carriers intend to make one more attempt to reach an agreement with European authorities. On August 31, from 12:00 p.m. to 2:00 p.m., a peaceful protest will take place in Belgrade in front of the EU delegation at 40/V Vladimira Popovića Street. Similar protests are planned in front of the EU delegations in Montenegro, Bosnia and Herzegovina, and North Macedonia.

In addition, another meeting between representatives of the transport companies and the European Commission is scheduled for September 1. If it does not lead to a concrete decision, starting September 14, transport companies from the four countries intend to begin protests at border crossings.

The cause of the conflict is the 90/180 rule in effect in the Schengen Area, under which a third-country national may stay in the Schengen Area for no more than 90 days within any 180-day period. This is sufficient for the average tourist, but international carriers argue that professional drivers are physically unable to make regular trips to the EU under such a restriction.

The rule itself existed previously, but with the introduction of the Electronic Entry/Exit System (EES), enforcement has become significantly stricter. The system automatically records the entries and exits of third-country nationals and, as of April 10, 2026, is fully operational at the external borders of the Schengen Area, with the exception of Ireland and Cyprus. The possibility of “losing” some days between passport stamps has effectively disappeared.

At the same time, the European Commission officially acknowledges the existence of the problem. The EU Visa Policy Strategy, adopted on January 29, 2026, states that a number of mobile professions, particularly truck drivers serving European businesses, may need to stay in several Schengen countries for more than 90 days within a 180-day period.

The European Commission has stated that it will seek a solution, including the possibility of introducing special EU-wide rules regarding extended short-term stays. However, a specific mechanism has not yet been approved.

For Serbia, this issue is particularly acute due to the significant dependence of its exports on road transport to the EU. Carriers warn that some drivers are already refusing to make trips to EU countries.

This will be the second major regional protest by carriers in 2026. Starting on January 26, drivers from Serbia, Montenegro, Bosnia and Herzegovina, and North Macedonia simultaneously blocked freight terminals at the borders with the EU. In Serbia, the protest lasted five days and was called off on January 30 after the European Commission included the issue of professional drivers in its new visa strategy.

The economic impact of the previous blockade was significant. According to estimates by the Serbian Chamber of Commerce and Industry, the restrictions affected about 93% of exports from the four Western Balkan countries, and potential business losses were estimated at up to 92 million euros per day.

For Ukraine, a potential blockade is also significant, although its impact will be considerably less than for Serbia and other Western Balkan countries. The main truck traffic between Ukraine and the EU passes directly through Poland, Slovakia, Hungary, and Romania, so a blockade of the Serbian borders will not halt Ukrainian-European trade.

However, the issue could directly affect Ukrainian trucks traveling to Serbia, Bosnia and Herzegovina, Montenegro, North Macedonia, Albania, and Greece, as well as carriers that use Serbia as a transit country. If the protest follows the January scenario and the Batrovci freight terminal on the border with Croatia, the Horgos terminal on the border with Hungary, the border crossings with Romania, and the Gradina terminal on the border with Bulgaria are blocked, Ukrainian carriers will find themselves in the same lines as other international trucks.

The most vulnerable routes may be those from Ukraine through Hungary or Romania to Serbia and onward to Montenegro, Bosnia, and North Macedonia, as well as transit toward the Adriatic and the southern Balkans. Rerouting cargo through Romania and Bulgaria or other border crossings is not always possible and entails additional mileage, fuel costs, and longer delivery times.

This is a particularly sensitive issue for Ukrainian logistics due to the economy’s heavy reliance on land transport corridors. According to the European Commission, in July 2026, the “Solidarity Lanes”—established after the start of the full-scale war—accounted for approximately 90% of Ukraine’s imports and 95% of its non-agricultural exports, although only a portion of these shipments is related to the Balkan route. Therefore, a strike in the Western Balkans alone is not capable of paralyzing Ukrainian foreign trade, but for companies that work specifically with the Balkans, it could significantly increase logistics costs.

A separate issue concerns Ukrainian professional drivers themselves. Ukraine has a special agreement with the EU on road transport, which has been extended until March 31, 2027. It liberalizes bilateral and transit freight transport and allows Ukrainian carriers to operate within the EU without some of the former licensing restrictions.

However, this agreement primarily regulates carriers’ access to the market, not the length of stay of a specific driver in the Schengen Area. Therefore, a Ukrainian driver entering the Schengen Area as a third-country national on a short-term stay and who does not hold a long-term visa, residence permit, or other relevant status must generally also comply with the 90-day limit within a 180-day period. The European Commission notes that holders of long-term visas and residence permits are not subject to this restriction.

https://t.me/relocationrs/3545

 

, , , ,

The EU Economy Can No Longer Rely on Old Assumptions — European Commission President

The EU economy today faces challenges such as rising energy prices, fragmentation of the single market, complex administrative rules, and competition that is not always fair, said European Commission (EC) President Ursula von der Leyen.

“For a long time, the European economic model was based on several self-evident truths: cheap imported energy, open global trade, ever-wider access to the Chinese market, strategic protection from the U.S., and the West’s technological edge. These truths have disappeared,” the EC President stated while delivering a speech on Thursday in Paris at the annual “2026 Meeting of French Entrepreneurs” conference.

Von der Leyen sees the solution to these pressing problems as restoring entrepreneurs’ freedom to invest in the short term and, in the long term, making innovation, productivity, and scaling up the sustainable drivers of European economic growth.
The European Commission President outlined her prescriptions for healing the European economy.

The first priority is to simplify regulations and restore a level playing field. The goal is to reduce the administrative burden by 25% for all businesses and by 35% for small and medium-sized enterprises by 2029.

“However,” von der Leyen continued, “the demand for simplicity must be combined with the demand for fairness regarding foreign competition. This is particularly relevant to our relations with China. China is our major economic partner, and our position is clear and unwavering: to reduce risks, but not to sever ties. However, being a partner does not mean putting up with constant imbalances.”

She identified the financing of EU member states’ economies as the second priority. In her view, far too many projects remain stalled because the initial investment step is too risky, demand is too uncertain, or capital is too expensive. Of course, the EC President noted, these efforts cannot be financed solely through national budgets.

“But Europe has savings. Unfortunately, these savings are ‘idle.’ 10 trillion euros in household savings continue to sit in bank deposits, and a significant portion of European savings is invested outside our continent. Europe must now channel these funds to support its own businesses,” von der Leyen said.
Among other measures to strengthen the EU economy, she highlighted the comprehensive development and consolidation of the EU single market, reducing energy costs, the adoption of artificial intelligence as a “powerful driver of productivity,” and expanding free trade with international partners.

, , , ,

United Kingdom Could Match EU in Ukrainian Chicken Imports by 2027

According to Experts.news, the United Kingdom could come close to the entire European Union market in terms of Ukrainian chicken meat purchases by 2027, while the importance of Middle Eastern countries for Ukrainian exporters will decline, according to a forecast by the Kyiv office of the U.S. Department of Agriculture (USDA FAS).

In the “Poultry and Products Annual” report, published on August 19, 2026, the United Kingdom is identified as one of the key drivers of growth in Ukrainian chicken meat production and exports in 2026–2027.

On January 16, 2026, Ukraine and the United Kingdom agreed to extend the duty-free trade regime for chicken meat and a number of other agricultural products until March 31, 2028. The United Kingdom will not impose a tariff quota on Ukrainian chicken until that date.

According to USDA estimates, this effectively provides Ukrainian producers with nearly two additional years of unrestricted access to one of the world’s most price-competitive markets. In some months, retail prices for Ukrainian chicken in the United Kingdom have even been higher than in the EU.

As a result, FAS/Kyiv expects a further sharp increase in shipments to the United Kingdom. By 2027, their volume could become comparable to Ukraine’s total chicken exports to the EU.

At the same time, the European Union remains the industry’s largest premium market; however, shipments are limited by a new permanent duty-free quota of 120,000 metric tons per year.

The new quota was agreed upon by Ukraine and the EU in October 2025. It replaced the pre-war permanent quota of 90,000 metric tons and the temporary regime of autonomous trade measures, which allowed for significantly larger volumes to be exported. The USDA expects that in 2026–2027, actual exports to the EU will remain at the established limit of 120,000 metric tons.

The expansion of shipments to the UK and the EU is already changing the geography of Ukrainian exports.

The shift is particularly noticeable in the Middle East. The USDA reports that in 2026, Ukrainian chicken exports to Saudi Arabia—which had previously been Ukraine’s largest single export market for this product—ceased entirely.

This occurred despite MHP’s long-standing relationship with Saudi Arabia and the Saudi Agricultural and Livestock Investment Company (SALIC), which owns 13% of MHP. At the same time, the USDA anticipates that Ukrainian products may return to the Saudi market in the coming years.

Exports to Iraq, on the other hand, continue. The USDA specifically notes that Ukraine was not included in Iraq’s ban on chicken imports from 39 major supplier countries due to risks associated with highly pathogenic avian influenza.

Ukrainian producers also maintain a presence in the markets of Africa and the former Soviet Union countries; however, the most profitable European markets are gradually drawing a portion of the production toward them.

Exports via Turkey are primarily of a transit nature: according to USDA industry sources, most of the Ukrainian poultry arriving there is subsequently re-exported to Asia or Africa. At the same time, the free trade agreement between Ukraine and Turkey, which will take effect in 2026, provides for a separate duty-free quota of 2,000 metric tons for raw and processed poultry products.

Overall, according to the latest estimate by FAS/Kyiv, chicken meat exports from Ukraine will increase from about 450,000 metric tons in 2025 to 490,000 metric tons in 2026 and 530,000 metric tons in 2027.

Thus, one of the key changes over the next two years will be the further reorientation of the Ukrainian poultry industry toward the United Kingdom and the EU, at the expense of some of its traditional markets in the Middle East and Asia.

Source: USDA Foreign Agricultural Service, Ukraine: Poultry and Products Annual, UP2026-0022, August 19, 2026.

, , , ,

Trucking companies in Serbia, Bosnia, Montenegro, and North Macedonia have threatened EU with border blockade

According to the Serbian business publication Parametar, trucking companies in Serbia, Bosnia and Herzegovina, Montenegro, and North Macedonia are demanding that the European Union propose a concrete solution by September 1, 2026, to the problem of restrictions on professional drivers’ stays in the Schengen Area. Otherwise, the carriers are prepared to stage coordinated protests again and block freight terminals at the borders with the EU.

The decision was agreed upon by representatives of transport associations from the four countries at a regional meeting in Skopje. However, September 1 is not automatically the start date for the blockade. The carriers intend to wait for negotiations with the European Commission and discussions on the EU’s new visa strategy, after which they will decide on further actions.

The carriers’ main complaint concerns the 90/180 rule. Third-country nationals who benefit from the visa-free regime may stay in the Schengen Area for no more than 90 days within any 180-day period. This restriction also applies to professional drivers from the Western Balkans.

Carriers consider this approach unfair, since drivers do not enter the EU as tourists but regularly cross the border while delivering international cargo and return to their home countries after their trips.

“Our drivers leave every two, three, or five days, depending on the route, and then return. They don’t want to leave their home countries; they want to work for our companies. But 90 days isn’t enough for professional work,” said Nejo Mandić, president of the Serbian Association of International Carriers.

According to estimates by regional transport organizations, the problem affects about 100,000 professional drivers in four countries. Stricter enforcement of the limit has become particularly noticeable following the introduction of the European Entry/Exit System (EES), which automatically records the entry and exit of third-country nationals.

There is already a precedent for this threat to carriers. In late January 2026, drivers from Serbia, Bosnia and Herzegovina, Montenegro, and North Macedonia simultaneously blocked more than 20 freight crossings into the Schengen Area. The borders between Serbia and Bosnia and Herzegovina with Croatia, between North Macedonia and Greece and Bulgaria, as well as the port of Bar in Montenegro, were blocked.

The economic impact was significant. Marko Čadež, president of the Serbian Chamber of Commerce and Industry, estimated at the time that the blockade affected about 93% of the four countries’ exports, with total losses amounting to approximately 92 million euros per day.

According to his assessment, individual companies faced fines and losses of 10,000–50,000 euros per day per company due to their inability to fulfill contractual obligations. Moreover, the problems were not limited to Balkan manufacturers—European companies with factories, suppliers, and customers in the region also suffered from the delays.

If a new regional blockade were to occur on a similar scale, economic losses could again amount to tens of millions of euros daily.

For Serbia, the most vulnerable sector is the industry oriented toward European supply chains. Automotive components, electrical equipment, rubber products, metal products, food, and other goods are often transported by truck on a scheduled basis and must reach the customer at a strictly defined time.

Even a brief halt in traffic leads to a buildup of cargo in warehouses, disruptions to production cycles, and the risk of penalties from European buyers.

A prolonged blockade is particularly dangerous for manufacturers of perishable goods. During the January protests, carriers reported that Lidl alone had planned to deliver approximately 120 truckloads of meat, dairy products, fruits, and vegetables from Europe to Serbia within a single week. The traffic blockade directly threatened these deliveries.

The transport companies themselves are suffering double losses: while a truck is idle, it continues to incur costs for leasing, driver salaries, insurance, and other payments, but generates no revenue. Industry associations also warn that the inability to fully utilize drivers on EU routes could lead to the loss of contracts to carriers from EU countries.

The economic damage will not be limited to the Western Balkans. A significant portion of businesses in Serbia, North Macedonia, and Bosnia and Herzegovina are directly integrated into the production chains of EU companies.

Delays in the supply of components could affect factories in Germany, Italy, Austria, Slovenia, Hungary, and other countries. The reverse flow of European goods to the Balkans is also coming to a halt.

In addition, an important land transport corridor connecting Central Europe, Turkey, and onward to the Middle East runs through Serbia and North Macedonia. During the January protests, Reuters noted that the blockade was disrupting traffic along precisely this strategic route.

Following the January protests, the European Commission acknowledged that the established regime creates problems for highly mobile professions, particularly international drivers, artists, and athletes. The EU’s new visa strategy, adopted in January, provides for the possibility of finding a more flexible mechanism for these categories of workers.

However, an automatic exemption for professional drivers from the 90/180 rule has not yet been implemented.

Carriers are insisting on either special status for international drivers or a system of professional visas or other permits that would allow them to stay in the Schengen Area for more than 90 days without the risk of detention, deportation, or a travel ban.

Thus, September 1 becomes a key date for the Western Balkans’ transport market. If Brussels proposes a workable mechanism for professional drivers, a new blockade can be avoided. If an agreement cannot be reached, carriers from the four countries have already agreed on the possibility of joint action.

The issue of restrictions on professional drivers’ stays in the Schengen Area also affects Ukraine.

Ukrainian long-haul truck drivers employed by carriers registered in Ukraine, when entering the Schengen Area under the visa-free regime, are also generally subject to the 90-day rule within an 180-day period, unless they hold a separate long-term status or a residence permit. In its visa strategy dated January 29, 2026, the European Commission explicitly acknowledged that the current system creates problems for mobile professions, specifically mentioning truck drivers who serve EU businesses.

At the same time, the EU-Ukraine Road Transport Agreement, in effect until March 31, 2027, simplifies access for Ukrainian carriers to the EU market and eliminates the need for a number of permits for bilateral and transit transport, but does not in itself constitute an exception to Schengen migration rules.

Therefore, Ukraine has a genuine interest in the very same solution demanded by carriers in the Western Balkans: to distinguish between a professional driver’s working hours on an international route and a regular tourist stay, or to establish a special regime for such drivers.

, , , ,

Ukrainian exporters to EU are subject to new packaging requirements

Starting August 12, 2026, Ukrainian companies exporting packaged goods to European Union countries must comply with the new uniform European packaging requirements set forth in EU Regulation 2025/40 on packaging and packaging waste—the Packaging and Packaging Waste Regulation (PPWR).
The new rules apply not only to manufacturers from EU countries. The European Commission explicitly states that the regulation applies to all packaging placed on the EU market, regardless of material or origin. Thus, the requirements also apply to goods from Ukraine, Serbia, Turkey, China, and other third countries.
The regulation entered into force on February 11, 2025, but its main provisions began to apply on August 12, 2026. It replaced the European directive on packaging and packaging waste, which had been in effect for over 30 years.
For Ukrainian businesses, this primarily affects manufacturers of food and beverages, cosmetics, household chemicals, consumer and industrial goods, as well as e-commerce companies that ship packaged products to customers in the EU.
The new regulations establish requirements for the composition and safety of packaging materials, the reduction of excessive packaging, and the potential for reuse and recycling. Manufacturers must assess the packaging’s compliance with the established requirements and issue an EU Declaration of Conformity.
For shipments from Ukraine, direct legal responsibility for placing imported goods on the European market often lies with an importer registered in the EU. According to the regulation, an importer is a company or individual located in the European Union that places packaging or packaged goods from a third country on the EU market. With regard to imported products, the importer is responsible for verifying compliance with established requirements.
However, this does not mean that Ukrainian manufacturers will not have to make any changes. In practice, the European importer will need to obtain from the supplier information on the packaging’s composition, confirmation of its compliance with requirements, and technical documentation. If a Ukrainian company is unable to provide these documents or if the packaging does not comply with the PPWR, the European partner will not be able to properly place such goods on the EU market.
One of the requirements, which will take effect as of August 12, 2026, concerns packaging that comes into contact with food. It must not contain PFAS—so-called “forever chemicals”—in concentrations exceeding the limits set by the Regulation.
At the same time, some of the widely discussed PPWR requirements are being phased in gradually.
For example, the requirement to ensure that all packaging is recyclable is set for 2030, and the new unified labeling rules will also be introduced later. Therefore, it would be incorrect to claim that, as of August 12, 2026, companies are already required to comply with absolutely all future PPWR standards.
For Ukrainian exporters, the practical significance of the reform is that packaging compliance is gradually becoming just as much a prerequisite for access to the EU market as the safety and quality requirements for the product itself. Companies in the food, light industry, chemical, and FMCG sectors, as well as manufacturers producing under the private labels of European retail chains, should pay particular attention to their packaging.
On August 3, 2026, the European Commission additionally published updated guidance for businesses on the application of the PPWR, while the general effective date for the main provisions of the regulation was set for August 12.
Source: EU Regulation 2025/40 and the European Commission’s guidance on the Packaging and Packaging Waste Regulation.

 

, ,

Share of imports in Ukraine’s rolled metal market rose to 46%

In January–July of this year, Ukrainian companies increased their consumption of rolled metal by 0.27% compared to the same period last year, reaching 2.309 million metric tons.

According to a press release issued by the “Ukrmetallurgprom” association on Friday, 1.063 million metric tons were imported during this period, accounting for 46.06% of the domestic rolled steel consumption market.
According to “Ukrmetallurgprom,” in January–July 2026, Ukrainian steel companies produced 3.322 million metric tons of rolled steel (91.7% of the figure for the same period in 2025), of which, according to the State Customs Service of Ukraine, approximately 2.076 million metric tons—or 62.5%—were exported. In January–July 2025, the share of exports was

60.2% (2.182 million metric tons out of a total rolled steel production of 3.622 million metric tons).

The share of semi-finished products in export shipments in January–July 2026 was 42.58%, which is significantly higher than the figure for the first seven months of 2025 (32.58%). The share of flat-rolled products in exports from January through July 2026 was slightly lower than in January through July 2025 (43.74% and 44.55%, respectively). The share of long products, however, is noticeably lower than in January–July 2025 (13.68% in 2026 versus 22.87% in 2025).

The structure of imports in January–July 2026 is characterized by a marked dominance of flat-rolled products over structural steel (66.59% and 26.94%, respectively); however, in January–July 2025, the dominance of flat-rolled products over long products was significantly greater (74.77% and 20.19%, respectively).

“In January–July 2026, the domestic market capacity was 2.309 million metric tons of rolled steel, of which 1.063 million metric tons, or 46.06%, consisted of imports. In January–July 2025, the domestic market capacity was 2,302,700 metric tons, of which 862,700 metric tons, or 37.46%, were imported. “Thus, in January–July 2026, the domestic market capacity increased by 0.27% compared to January–July 2025, with a simultaneous 8.58% rise in the share of imports,” the press release states.

According to the State Customs Service, the main export markets for Ukrainian rolled metal in January–July of this year were the European Union (81.9%), the rest of Europe (9.6%), and the CIS (6.5%).
Among steel importers for the first seven months of 2026, other European countries ranked first (49.8%), followed by Asian countries (25.5%), and EU-27 countries (16.0%).

As previously reported, Ukraine’s rolled metal market grew by 21.73% in 2025 compared to 2024, reaching 4 million 1.6 thousand metric tons. Imports totaled 1 million 603.6 thousand metric tons, accounting for 40.07% of domestic rolled metal consumption.
Ukraine’s rolled metal market in 2024 contracted by 6.26% compared to the previous year—to 3,288.4 thousand metric tons, while in 2023 it grew 2.19 times compared to 2022—to 3,505.6 thousand metric tons.

, , , ,