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

 

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Traffic restrictions will be in place in Kyiv from August 22–25

Due to security measures involving foreign delegations in the capital, temporary traffic restrictions will be implemented from August 22–25, according to the State Security Service of Ukraine.

It is noted that the restrictions will be in effect in the central part of the capital, as well as in certain areas of the Pechersky, Podilsky, Solomensky, and Shevchenkivsky districts.

“Please take this information into account when traveling,” reads a post by the State Security Service of Ukraine on Facebook.

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Road passenger transportation in Ukraine rose in price by 30.8%, fuel by 28% — State Statistics Service

Transportation prices in Ukraine in July 2026 were 18.6% higher than a year earlier, according to data from the State Statistics Service. In just one month, transportation prices rose by 1.3%. The most significant increase was recorded in passenger road transportation—up 6% in July and 30.8% compared to July 2025.

Overall, transportation services rose in price by 28.9% over the year and by 25.7% since the beginning of 2026. Passenger rail transportation became 2.7% more expensive over the month and 15.5% more expensive over the year.

Another significant factor remains the cost of fuel. In July, fuel and lubricants became 0.1% cheaper compared to June; however, compared to July of last year, they were 28% more expensive, and since the beginning of the year—26.5% more expensive.

Thus, transportation costs are rising significantly faster than the overall consumer market: annual inflation in Ukraine stood at 7.7% in July, while transportation inflation was 18.6% and transportation services inflation was 28.9%.

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Ukraine Imported Machinery, Equipment, and Vehicles Worth $25.7 Bln Over Seven Months

In January–July 2026, Ukraine imported machinery, equipment, and vehicles worth $25.7 billion, accounting for more than 44% of the country’s total merchandise imports, according to the State Customs Service.

The second-largest category was fuel and energy products, with imports totaling $8.5 billion, followed by chemical industry products at $8 billion.
Collectively, these three commodity categories accounted for $42.2 billion, or about 73% of Ukraine’s imports over the seven-month period.

During customs clearance of machinery, equipment, and vehicles, 145.5 billion UAH in customs duties were paid to the state budget, accounting for 28% of the corresponding revenue.
Fuel and energy products accounted for 172.7 billion UAH, or 34% of customs duties, while chemical products accounted for 66.5 billion UAH, or 13%.

Thus, the three largest import categories accounted for about 75% of customs duties.
Total imports of goods into Ukraine in January–July rose by 26.6% compared to the same period last year—to $58.1 billion.

The largest supplier countries were China with $16.8 billion, Poland with $5.5 billion, and Germany with $3.8 billion.

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Heat wave and Danube’s low water levels have complicated shipments from Germany to Ukraine

According to experts.news, a new heat wave is sweeping across the Balkans and a significant portion of the Danube basin. From July 31 to August 6, temperatures in several countries in the region will reach 35–40 degrees, which will exacerbate the drought and worsen conditions on the Danube, where water levels have already dropped to long-term lows and, in some places, record lows.

The highest temperatures are forecast for Serbia, Croatia, Montenegro, Albania, North Macedonia, and Hungary. In Belgrade, Novi Sad, Zagreb, Podgorica, Tirana, Skopje, and Budapest, temperatures are expected to reach 37–40 degrees. In Sarajevo, temperatures will reach 35–37 degrees.

In Bulgaria and Romania, the heat will initially be less intense, but by August 4–5, temperatures in Bucharest are expected to reach 36–37 degrees. In Moldova, temperatures will rise from 30 degrees on July 30 to 37 degrees on August 4–5. In the Odesa region and the Ukrainian part of the Danube Delta, temperatures are expected to range from 27–32 degrees, but nighttime temperatures in early August may reach 24 degrees.

The situation in the upper part of the basin also remains challenging. In Vienna, temperatures are forecast to reach up to 39 degrees on July 31, and up to 38–39 degrees on August 3–4. In Budapest, temperatures from July 31 through August 5 will mostly range from 38–40 degrees. Isolated thunderstorms in Austria may cause a temporary rise in water levels, but the prolonged heat wave will prevent the accumulated precipitation deficit from being quickly offset.

On the Danube, Sava, and Tisa rivers in Serbia, water levels are below the low navigational marks. In Croatia and Serbia, shallowing has already led to the formation of large sandbars, small vessels running aground, and old sunken ships resurfacing, posing an additional danger to navigation.

Due to insufficient depth, barges and tankers are utilizing only 30–40% of their carrying capacity in certain sections. In July, Serbia received only about 25% of its planned volume of imported fuel via the Danube. Production at Serbia’s largest hydroelectric power plant, “Džerdap-1,” has fallen to about one-third of its usual level.

In Romania, the inflow of water into the Danube has dropped to approximately 1,650 cubic meters per second, compared to an average July figure of about 4,750 cubic meters. Low water levels have led to the shutdown of both power units at the Cernavodă Nuclear Power Plant, which uses water from the Danube for cooling. In Hungary, restrictions have affected the Paks Nuclear Power Plant.

In the Bulgarian-Romanian section, navigation has been restricted near the islands of Belene, Vardim, and Batyn. Vessels are forced to wait for passage clearance and reduce their cargo loads. At the end of July, a passenger motor ship also ran aground on the Danube, despite the restrictions on draft that were in effect.

Analysis of the Impacts on the Ten Danube Countries

In Germany and Austria, low outflow from the upper reaches means a reduction in the volume of water flowing downstream. Short-term downpours may cause localized rises in water levels, but sustained rainfall throughout the upper and middle basins is necessary for a stable recovery.

For Slovakia and Hungary, the main risks are related to restrictions on barge loading, a decline in river tourism, disruptions in the supply of fuel and raw materials, and strain on energy infrastructure. In Budapest, the Danube’s water level fell below previous lows, and tourist cruises on certain routes were suspended.

Croatia and Serbia are already feeling the direct impact of low water levels on the transport of fuel, industrial raw materials, and agricultural cargo, as well as on port operations. Sandbars and sunken vessels that have risen closer to the surface pose an additional hazard.

For Bulgaria and Romania, low water levels mean reduced vessel draft, queues at narrow sections, suspended ferry crossings, rising grain transportation costs, and risks to the energy sector. Romania is a key link in the route between Ukrainian Danube ports and Constanța, so delays are spreading throughout the entire Lower Danube corridor.

Moldova has a short outlet to the Danube via the port of Giurgiulești. It is located on the river’s maritime section and has greater depth than many inland ports, making it less directly vulnerable to the shallowing of the middle Danube. However, Moldovan cargo depends on the stable operation of the lower reaches of the river, the Romanian canals, and access to the Black Sea. Delays and rising freight rates on this route could increase the cost of the country’s imports and exports.

For Ukraine, the lower Danube is particularly important due to the operations of the ports of Reni, Izmail, and Ust-Dunaysk. Critically low water levels are already limiting the normal loading of barges and delaying the fulfillment of contracts. As of July 20, the cost of transportation from Reni and Izmail to Constanta has risen to approximately $28 per metric ton, and some vessels are losing 30–60% of their cargo capacity.

The continued heat through August 6 will intensify evaporation and maintain pressure on the Danube’s water regime. Even with local rains, any improvement will most likely be temporary, as the water shortage is affecting the entire basin—from Germany and Austria to Romania, Moldova, and Ukraine.

For shippers, the most likely consequences will be a further reduction in barge loading capacity, the use of more vessels to transport the same volume, rising freight rates, delays in the delivery of fuel, grain, and industrial raw materials, as well as the partial rerouting of cargo to rail and road transport.

A significant improvement in the situation is possible only after a prolonged period of rainfall in the Alps, Germany, Austria, Slovakia, and other parts of the basin.

https://www.experts.news/posts/speka-ta-milinnya-dunayu-uskladnyly-perevezennya-z-nimechchyny-do-ukrayiny

 

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Businesses Were Fined Over 7 Mln UAH for Failing to Submit Transportation Data to Territorial Mobilization and Social Support Centers

During the first five months of 2026, Ukrainian companies were fined over 7 million UAH for failing to submit or for late submission of transportation data to the Territorial Mobilization and Social Support Centers.

According to OpenDataBot, which cites information from the Ukrainian Armed Forces’ Land Forces Command, 263 penalty orders were issued between January and May. The total amount of fines imposed was 7.057 million UAH.

Of this amount, 6.652 million hryvnias—or 94%—have already been paid voluntarily by the companies or collected by force into the budget.

In total, since 2014, 1,047 Ukrainian companies have received rulings for failing to submit information on their vehicles. Notably, 87% of all sanctions were imposed after the start of the full-scale war.

The rulings are issued against company officials responsible for submitting the information. These may include directors, accountants, or other employees entrusted with these duties.

Companies are required to report twice a year to the TCC and the SP on the availability and technical condition of their vehicles and equipment.

Original source: OpenDataBot – “7 million UAH in fines imposed on businesses this year for failing to submit information on vehicles to the TCC”, published on July 29, 2026.

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