Ukraine has decided to introduce special duties on imports of new passengers cars with engines from 1,000 to 1,500 cubic centimeters at a rate of 6.46% and cars with engines from 1,500 to 2,200 cubic centimeters at a rate of 12.95% irrespective of the country of origin and export, reads an official report in the government's Uriadovy Kurier newspaper issued on Thursday.

The report says that the decision was made by the interagency commission for international trade on April 28, 2012.

"The decision of the commission will take effect 30 days from the moment of the publication of the announcement," reads the report.

The report says that this concerns cars classified as 8703 22 10 00 and 8703 23 19 10 under the Ukrainian Classification of Goods for Foreign Economic Activity (UCGFEA).

The initiators of the investigation were public joint-stock company Zaporizhia Automobile Plant, private joint-stock company Eurocar and subsidiary Automobile Assembly Plant 2 of Bogdan Motors Automobile Company.

The commission said that the share of imported products compared to cars made in Ukraine at the said companies grew in 2010 by 37.9% compared to 2008, while in absolute figures imports fell by 71%.

Domestic production in Ukraine over the said period plunged by 78.9%, which is the worst indicator in the world, while sales on the domestic market contracted by 86.3%.

Among other arguments of the commission is the growth in the share of Turkish, Korean, Romanian and German cars in the total volume of imports in 2010 compared to 2008, which confirms the attractiveness of the Ukrainian market.

The commission added that Japan, which has a 15% share of total car imports to Ukraine, has large capacities to boost it. In addition, Russia plans to considerably increase car production, including through exports to neighboring countries.

According to the omission, the number of workers at national automobile plants fell by 51.56%, and the size of operation profit decreased by 89.9%.

"Thanks to growth in imports of cars to Ukraine and the conditions of its implementation, national producers were pushed out the domestic market, which results in the worsening of the negative state of the Ukrainian sector and a threat of causing a large damage to the national producers," reads the report.

The commission believes that the measures introduced will promote the resumption of production volumes and sales of Ukrainian cars. They will positively influence employment and investment of the national producers.

"The proposed size of the duty will not restrict the interest of consumers on free choice and cannot be considered as a ban on imports of goods to Ukraine," the commission said.