Business news from Ukraine

NEW HOUSES IN UKRAINE TO BE DESIGNED ACCORDING TO NEW SAFETY STANDARDS

The experience of the war with Russia has confirmed that new residential buildings in cities should be designed with secure parking lots, as is done in Israel, Ukrainian Minister of Infrastructure Oleksandr Kubrakov said on his Facebook page, talking about his visit to Kharkiv.
In Kharkiv region, the head of the department held a series of meetings, the focus of which, according to him, was the restoration of sustainable logistics for business and the rebuilding of destroyed housing.
“We have a task from the President of Ukraine to build new infrastructure, restore cities and towns, so we are already working in this direction. I remember that more than a month ago I was in Kharkiv and promised Kharkiv residents and mayor of the city Ihor Terekhov to build a new interchange in the city. We will definitely do it,” Kubrakov said.
In Kharkiv, according to the minister, nearly 1,300 multi-storey residential buildings, 70 schools, 54 kindergartens, and 16 hospitals were destroyed. Other cities in the war zone suffered a similar scale of destruction.
“We will have the opportunity to rethink and restart the life of the affected cities. The experience of the war confirms that the design of new houses should already take place with a fortified underground parking (similar to how they do it in Israel), using energy-saving technologies. In particular, the projects ‘Great Construction’ and ‘Energy Independence’ are all about well-thought-out solutions for the development of a modern protected Ukraine,” Kubrakov said.
The Minister also said that the Ministry of Infrastructure collects data on all losses, and Russia will definitely pay for the restoration of our country.
The Minister discussed the restoration of social and transport infrastructure in Kharkiv region with head of the Kharkiv regional military administration Oleh Synehubov.
According to Kubrakov, they have already established systemic logistics for the supply of humanitarian aid in the region. Next in line is the restructuring of supply chains for business.
Rebuilding logistics chains, as the minister explained, is due to the blocking of seaports by the enemy. But solutions are being found in all regions, business continues to operate, and the state is developing all possible options for compensation and reducing the tax and bureaucratic burden on entrepreneurs.
The minister also drew attention to the fact that Kharkiv, even under enemy shelling, remains cleaner and tidier than most of the peaceful cities of Ukraine.

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EU-CHINA SUMMIT: FOCUS ON THE WAR IN UKRAINE AND ITS IMPLICATIONS FOR THE WORLD

During the summit of the leaders of the European Union and China, which will be held on April 1, the main topic of discussion will be the war waged by Russia against Ukraine and its negative impact on the global security, economic and trade systems.
This was announced by the European Commission on the eve of the summit.
“Given the severity of recent developments, discussion during the summit is expected to focus on Russia’s unjustified and unprovoked aggression against Ukraine and its negative impact on the rules-based system, global security and economy,” the press release said.
In addition, the EU and Chinese leaders will review a comprehensive bilateral agenda between Brussels and Beijing, including trade and investment relations, climate action, digital technology, human rights, post-pandemic economic recovery, and regional issues.
The summit will be held in the format of a videoconference. The EU will be represented by the Presidents of the European Commission Ursula von der Leyen and the Presidents of the European Council Charles Michel, with the participation of High Representative Josep Borrell, China – Prime Minister Li Keqiang.

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PRESIDENT OF UKRAINE INVITED AUSTRALIA TO JOIN THE COUNTRY’S RECONSTRUCTION PROGRAM

President of Ukraine Volodymyr Zelensky called on Australia to join the program for the restoration of the regions of Ukraine, in particular, the coast of the Black and Azov Seas.

We invite the leading states of the world, leading companies and the best specialists to join the project of restoring Ukraine. To take patronage over a region, city or industry in our country in need of restoration. Your state granted ours such a special status of a like-minded country. But we are not only related in our thoughts, we are also related in dreams. Therefore, I invite your country to take a closer look at our southern regions, at our coast of the Black and Azov Seas. The restoration of our ports, the development of cities like Kherson, the restoration of the Ukrainian maritime industry can be a special contribution to stability for you after this terrible war,” he said in a video message to the Australian Parliament on Thursday.

He also called on Australia to join in arms assistance to Ukraine. “You have excellent Bushmaster armored vehicles that can significantly help Ukraine. As well as other models of equipment and weapons that can strengthen our positions,” he said.

“And I hope that the Ukrainian community of Australia, our strong Ukrainian community, will join this work. It will support us now as strongly as in previous years,” Zelensky said.

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FERREXPO ACTIVATES THE PROVISION OF HUMANITARIAN AID IN UKRAINE

The British Ferrexpo plc, which controls in Ukraine, in particular, the Poltava and Yeristovo mining and processing plants (PGOK and EGOK), together with international partners, will intensify the provision of humanitarian assistance in Ukraine within the framework of the Group’s Humanitarian Fund.
According to a press release from the company on Tuesday, Russia’s invasion of Ukraine is creating a serious humanitarian crisis within the country. The Group continues to provide assistance through the Fund, which includes the implementation of individual projects ranging from $10,000 to more than $1 million.
At the same time, it is specified that support is provided both to communities located directly next to the territory of the industrial activity of the group, and in other regions of Ukraine. So far, Ferrexpo has provided housing and assistance to more than 1,400 refugees displaced by Russia’s invasion of Ukraine.
Among the main projects implemented are the following: provision of temporary housing for internally displaced persons, namely, the provision of rollaway beds, blankets, installation of lighting and the purchase of batteries to charge phones, as well as computer equipment for local authorities coordinating refugee assistance. Also providing fire brigades with radios, satellite phones and protective equipment for search and rescue in communities directly affected by the invasion, the purchase of batteries for cars and batteries for remote charging of mobile phones for public organizations responsible for helping residents of communities.
In addition, medical supplies are supplied to local hospitals from international suppliers.
Ferrexpo notes that the company’s international business partners, including suppliers, customers and contractors, quickly responded and responded to the call to help Ukraine. A number of the group’s partners have already provided direct humanitarian assistance to Ukraine, in particular, food, medicine, baby food and other household goods. The companies also provide financial support to communities living near the territory of the industrial activity of the group.
Chief Executive Officer (CEO) Jim North in his comment noted that the situation in Ukraine is very difficult and continues to deteriorate and Russia continues to invade Ukraine, which leads to a massive resettlement of people to the west of Ukraine, further from the conflict zones. The support of international organizations is indispensable, and every effort is made to provide direct assistance or to coordinate it where possible.
“We are proud and grateful for the response from our business partners who provided funding to meet the humanitarian needs of Ukraine, in particular, goods and services to the population of Ukraine, provided direct support to projects in the region where we operate. We thank our partners for they responded to Ukraine’s request for help, which is vital today for those affected by the Russian invasion,” North was quoted in a press release.
At the same time, he added that the safety of workers in Ukraine remains Ferrexpo’s number one priority: “I would like to thank our colleagues for their support during these times, as well as for helping to ensure the humanitarian needs of the country.”
Ferrexpo is an iron ore company with assets in Ukraine. Ferrexpo owns 100% of the shares of Poltava GOK, 100% of Eristovsky GOK and 99.9% of Belanovsky GOK.

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THE UNITED STATES WILL PROVIDE UKRAINE WITH ADDITIONAL FINANCIAL ASSISTANCE OF $ 500 MILLION

US President Joe Biden, in a conversation with his Ukrainian counterpart Vladimir Zelensky, announced Washington’s plans to provide Ukraine with $500 million in direct financial assistance, according to a White House press release.
“President Biden informed President Zelensky that the United States intends to provide the Ukrainian government with $500 million in direct budget support,” the document says.
The two leaders also discussed how the US is working with allies and partners to identify additional opportunities to provide defense assistance to the Ukrainian military. It was also about how the United States is trying to “satisfy the basic needs of Ukraine in the field of security.”
In addition, Zelensky provided Biden with information on the state of negotiations between Ukraine and Russia, the press release also says.

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GERMAN TRUCK MANUFACTURER MAN SHUT DOWN 2 FACTORIES IN EUROPE DUE TO LACK OF COMPONENTS FROM UKRAINE

The German truck and bus manufacturer MAN was forced to send about 11,000 employees on unpaid leave due to the Russian military invasion of Ukraine.
The Volkswagen Group-owned company said on Wednesday that its facilities in Munich and Krakow, Poland, have been halted since March 14 due to the cessation of supplies of electrical wires produced at Ukrainian factories. At three other MAN sites, production volumes have been reduced, including at the engine plant in Nuremberg.
“Suppliers of electrical wiring for trucks cannot produce it at Ukrainian enterprises or can produce it in very limited quantities,” MAN said in a statement. “As a result, we could lose production for several weeks, which will sharply reduce output figures in the second quarter.”
The company said it has already started looking for additional sources of truck wiring harnesses in other countries.
“However, this will take several months,” said Alexander Vlaskamp, chief executive officer of MAN.
The company notes that its employees will be transferred to a reduced working hours scheme, in which MAN compensates them for 80% of lost income from both its own and state funds.
The problems of Ukrainian suppliers previously led to disruptions in the work of Volkswagen and BMW enterprises.
Most of the Ukrainian enterprises for the production of electrical wiring, located in the western part of the country, have resumed work, the Financial Times newspaper writes, citing representatives of several enterprises.
Thus, the German Leoni, which owns two factories in the west of Ukraine, has already reported that both of its enterprises have returned to work.
Other companies, including Aptiv and Kromberg & Schubert, have resumed production, FT sources say.

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