The Interdepartmental Commission for International Trade, after considering a statement by the Ukrainian Association of Automobile Manufacturers Ukrautoprom, has decided to start a special investigation into exports and imports of cars to Ukraine, regardless of their country of origin, reads a posting on the Web site of the Economic Development and Trade Ministry.
The decision was approved at a commission meeting on June 30, reads the posting.
The commission established that in 2008-2010, against the background of a decline in demand on the domestic market for cars classified as 8703 22 10 00 and 8703 23 19 10 under the Ukrainian Classification of Goods for Foreign Economic Activity (UCGFEA), a significant rise in imports was observed in relation to the volumes of production and sales of such goods in the country.
During this period, in particular, the share of imported cars grew by 16 percentage points in terms of sales, and by 33 percentage points in terms of production. The same tendencies were seen in 2011 as well.
At the same time, according to the report by the commission, in 2008-2010, the economic states of enterprises in the Ukrainian car manufacturing industry significantly worsened. First of all, volumes of production and sale of cars, revenues, and employment fell, as well as productivity and other rates.
During the investigation it will be established whether imports of cars to Ukraine cause serious harm or threaten the national commodity producers, and whether special measures are needed, taking into account the international economic interests of the country.
The Ukrainian Association of Automobile Manufacturers Ukrautoprom, following a motion from three automobile manufacturers - ZAZ, Eurocar and Kremenchuk Car Assembly Plant - started an investigation into imports of passenger cars with 1-2.2-liter engines to the country.
The association stressed that the main motivation for such an investigation is to attract international automobile manufacturers to Ukraine to set up production.
