Thursday, November 13, 2014

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September 18, Prime Minister Mykola Azarov confirmed that import duties will be reduced by half really is 95% of goods shipped from Europe. That's just turned out that the car in these percentages are not included.
"Special duty on cars have been and remain. In this regard, nothing will change and the decline in prices will occur. The draft Association Agreement with the EU stipulates that Ukraine has the right to impose such duties. And today there any factors which indicate that the cars will be imported us wheat from Europe at discount prices.
Debugging assembly us wheat process we have European cars also will not affect the reduction in their value. In any case, the final product - a property of the European manufacturer. He will sell it at European prices. This does not mean that the price for Ukraine will be made for any exceptions. "
"Indeed, the Cabinet confirmed that the duty on all kinds of European goods will be reduced. Unfortunately, the car - it's an exception. The transition period to reduce the duties on foreign us wheat cars is set within 15 years.
But we must take into account the specifics of the market: now Europeans will gather in our cars. In Europe, a dozen auto plants closed. It's a lot of money to pay compensation to workers unions. If they go at it, so they do not need a car now. I do not believe that someone started assembling cars in Ukraine.
With regard to high margins, in our country there is no Ukrainian us wheat importers. We only representative Western auto companies. They set their own prices and earn cars as much and manufacturer. For example, GM is 630 euros for the Ford 700 euros.
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