Business news from Ukraine

Business news from Ukraine

United States is providing Ukraine with new arms package worth $175 mln

The administration of US President Joe Biden has announced additional assistance to Ukraine in the amount of $175 million, Secretary of State Anthony Blinken said.

The package will include air defense ammunition and artillery shells, additional ammunition for HIMARS, high-speed anti-radiation and anti-tank missiles, small arms ammunition, explosive ordnance to destroy obstacles, equipment to protect critical infrastructure, spare parts, support equipment, services, training, and transportation.

“Until Russia ends this war by halting its brutal attacks and withdrawing its troops from Ukraine, it is critical that the United States continue to lead the coalition we have built, consisting of more than 50 countries that stand firmly with Ukraine. If Congress does not act to approve the president’s request for additional national security funding, this will be one of the last security assistance packages we can provide to Ukraine,” the statement said.

The State Department emphasized that helping Ukraine defend itself against Russian aggression and secure its future is in the interests of U.S. national security and promotes global stability around the world, “and we need Congress to act now.”

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United States will help Ukraine export grain to global markets

The United States will support Ukraine’s grain exports to markets that desperately need them, White House press secretary Karine Jean-Pierre said during a briefing.

“We are going to continue to support Ukraine’s efforts to get Ukrainian grain to markets that desperately need it,” she said.

The spokeswoman also noted the provision of U.S. financial support and supplies for Ukrainian farmers, such as seeds and fertilizer, as well as assistance with crop storage and processing.

In addition, Jean-Pierre recalled that the U.S. government is providing Ukraine with $250 million in financial assistance to support the agricultural sector.

“The United States will allocate another $250 million to the AGRI Ukraine initiative to help Ukrainian farmers produce, store and export agricultural products and grain to global markets,” she emphasized.

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Manufacturers from Europe due to high energy prices began to transfer activities to United States

European producers, faced with a surge in energy prices, are shifting operations to the United States, hoping to take advantage of both greater stability in the US energy market and government incentives, The Wall Street Journal writes.
Experts warn of the possibility of a new wave of deindustrialization in Europe amid wild energy price fluctuations and persistent problems in supply chains. The operating environment in the US looks much more favorable, especially for chemical manufacturers and companies in other energy-intensive industries. In August, US President Joe Biden signed the Inflation Reduction Act (IRA), which provides, in particular, tax incentives for industrial companies and representatives of the green energy sector.
Earlier this month, the WSJ reported, citing sources, that American electric car maker Tesla Inc. paused a plan to manufacture batteries in Germany in connection with the possibility of obtaining tax benefits in the United States. Sources told the paper that Tesla is considering shipping battery manufacturing equipment to the States for its Berlin facility.
European companies that have announced expansions in the US this year include automaker Volkswagen AG, as well as, for example, the Dutch chemical company OCI NV, which owns an ammonia plant in Texas.
European steelmaker ArcelorMittal SA earlier this month announced it was cutting production at two plants in Germany. At the same time, the results of her Texas enterprise turned out to be better than expected, which the head of the company, Aditya Mittal, explained by the low cost of energy in the region.
Experts note that the US economy has weathered the pandemic fairly well and is more attractive for business than Europe and China, despite record inflation, continued problems in supply chains and the risks of a recession as a result of tightening monetary policy by the Federal Reserve System (Fed). China is still under lockdown to contain the spread of COVID-19, and Europe is destabilized by the energy crisis due to the conflict in Ukraine.
It will be difficult for European manufacturers to remain competitive without lower energy prices or government subsidies, said Svein Tore Holseter, chief executive officer of Norwegian chemical company Yara International ASA.
“Some industries will have to relocate production on a permanent basis as a result,” he said.

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State budget of Ukraine received a grant from United States in amount of $1.5 billion

Prime Minister of Ukraine Denys Shmyhal says that the state budget has received a $1.5 billion grant from the United States from the World Bank Trust Fund.
“The state budget received a grant in the amount of $1.5 billion. This is the last tranche of $4.5 billion from the United States from the World Bank Trust Fund,” Shmygal wrote on Twitter.
According to him, the funds will be used to reimburse budgetary expenses for pension payments and social assistance programs.
The prime minister thanked US President Joseph Biden for supporting Ukraine.

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United States will allocate almost $ 90mln to Ukraine for demining

The United States will provide Ukraine with $89 million to deploy 100 demining teams, US Ambassador to Ukraine Bridget Brink said.
“Mines, unexploded ordnance, other explosive objects block agricultural land, delay recovery, prevent people from returning home, kill, maim innocent Ukrainians. Therefore, we are providing $ 89 million for Ukraine to deploy 100 demining teams and make the country safer,” – wrote the ambassador on Twitter.

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OVER 23 THOUSAND UKRAINIAN REFUGEES HAVE ALREADY RECEIVED PERMISSION TO ENTER UNITED STATES

Over 23,000 Ukrainians have received permission to enter the United States as part of the new program of the administration of President Joseph Biden for Ukrainian refugees, CNN reports.
“According to the US Department of Homeland Security, more than 23,000 Ukrainians have received permission to enter the United States under the new program,” the statement said.
The TV channel notes that 6,000 of them have already arrived in the United States.
The Biden administration had previously pledged to accept up to 100,000 Ukrainians.
Earlier in April, US President Joseph Biden announced the “Uniting for Ukraine” program for accepting refugees from Ukraine, which will speed up their relocation to American territory. The program provides an opportunity for accelerated migration from Europe to the US to Ukrainians who have an American “sponsor”, such as a family or an NGO, ready to deal with them.

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