Special duty did not help the domestic auto industry: the production fell by half

Production of passenger cars in Ukraine in January – September 2013 decreased by 45.4% compared to the same period last year, to 30 thousand pcs.  

This is stated by the State Statistics Service of Ukraine, the "UNN" reported.

In particular, in September of this year, Ukraine has produced 3.4 thousand cars, which is 40.8% less than in September last year. Compared to August of this year, car production in Ukraine has decreased by 32.5%.

Furthermore, the production of trucks and buses has also decreased significantly since 2013 – by 45.8%, to 1,247 thousand units, and by 37.9%, to 1,586 thousand units, respectively.

In particular, in September this year Ukraine has produced 146 trucks (-0.7%) and 212 buses (20%).

Recall that by the end of 2012, Ukraine produced 69.7 thousand cars (-28.5% of the volume in 2011), 2936 thousand trucks (-7.1%) and 3206 thousand buses (-14.4%).

As reported by the "Comments", on March 15 of this year, the import duty on imported automobiles with engine capacity of 1 to 2.2 L in amount of 6,46-12,95% was introduced in Ukraine. The decision was initiated by the Ministry of Economic Development which proposed to introduce the duty for three years. The special duty will be charged in addition to the existing 10%.

The Minister of Economic Development and Trade Igor Prasolov has repeatedly said that by imposing the special duty on imported cars the government intend to ensure guaranteed plans of domestic car production.

Source – Comments.UA