KYIV. Dec 22 (Interfax-Ukraine) – The educational subvention provided for the purchase of school buses in 2023, despite the fact that it has been increased by almost a third – from UAH 753 million to UAH 1 billion – will allow the purchase around 450-500 buses, i.e. as much as in the current year, taking into account the growth in prices for them, Director of Etalon Avto Trading House LLC Vadym Shkarupin has said.

"This year, the educational subvention provided for the purchase of around 450-500 buses, while Education Minister [of Ukraine Serhiy] Shkarlet spoke about a shortage of 3,300 buses. This year the program provided for a subvention in the amount of UAH 753 million, while UAH 1 billion is planned for 2023. But the number of buses has not increased for obvious reasons. All manufacturers depend on imported components, and the dollar exchange rate at the beginning of the war was UAH 26-27 per U.S. dollar, and today it is UAH 36 per U.S. dollar, and next year it will be UAH 42.2 per U.S. dollar, so prices will be different, but the quantity [of buses] will not change," he said at a press conference hosted by the Interfax-Ukraine News Agency in Kyiv on Thursday.

Shkarupin noted that this year the implementation of the school bus purchase program started late, so the corporation asked the government to postpone the rest of the subvention to the next year, however, no decision has been made yet.

He also recalled that the European Union provided Ukraine with EUR 14 million for the purchase of school buses.

"But, as far as I understand, the buses will be purchased in Europe – this amount includes delivery and logistics, which have become very expensive," he said.

According to him, in general, the market for new buses in Ukraine this year has decreased by about half compared to last year.

"More or less the movement began in June, as the government allowed the import of used vehicles without taxes – and many took advantage and brought in about 500 used cars. In addition, many motor fleets have been destroyed (200 buses were destroyed in Dnipro alone), a lot of transport has been mobilized," he said.

At the same time, he noted that the retail market today practically does not buy new buses.

"Therefore, our market today is school buses and small orders from state-owned enterprises for their own needs. And very little – almost a few – purchases of commercial enterprises," he said.

Speaking about today's competitors in the bus market, President of the Etalon Corporation Volodymyr Butko noted that the Etalon and Ataman buses from the Cherkasy Bus Plant, which have resumed production of buses since April and are operating as usual, participate in tenders for school buses.

The Etalon Corporation includes 21 enterprises. Its core business is the production of vehicles, mechanical engineering, warehouse logistics.