Transcarpathia may lose its economic brand

Companies that specialize in SKD car assembly will no longer be considered car plants in Ukraine. Among them, perhaps, there will also be Transcarpathian "Eurocar".

This follows from the new Order to identify goods imported into the customs territory of Ukraine, approved by the Cabinet of Ministers, the Tribuna informed. From now on, only ventures that produce at least 25,000 cars a year and have facilities for welding and body painting can be called "car plants". Also, the minimum threshold of Ukrainian localization has been set. In 2013, it will be 20%, then in 2014 – 25%, the next year – 30%, in 2016 – 40%, and finally, in 2017 at least half of the car plant’s products will have to be of Ukrainian origin.

The Cabinet established new orders on the eve of the entry into force of the new utilization fee, which has already been reported. This order will take away the benefits from Ukrainian enterprises engaged in SKD car assembly. According to the government, it will encourage such enterprises as "Eurocar", "Bogdan" and KrASZ to active development of production and creation of new jobs.