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Ukrainian authorities will be able to protect interests of Ukrainian car producers even after the signing of the free trade area agreement with the EU, Dmytro Boyarchuk, executive director of "CASE Ukraine" social research center, says commenting on the statement of foreign minister Leonid Kozhara on automatic cancellation of special duties on car import after the signing of the Association and FTA agreements.
"This statement was supposed to assure Europeans ahead of signing the Association agreement. IN fact, being a WTO member Ukraine did not have the right to introduce such duties to begin with. Nevertheless, if we cancel the duties, there are other ways to control the volume of car import, like the utilization fee, for example - non-tariff control method of import, permitted by WTO regulations," Boyarchuk said.
The expert believes that Ukrainian car production industry will not remain unprotected after the signing of the Association and FTA agreements.
As a reminder, special duties on imported car were introduced on April 14, 2013. The amount of duty depends on engine size (1-1.5 thousand cu m - 6.46% fee, 1.5-2.2 thousand cu m - 12.95%, regardless of the country of origin)
Economic experts repeatedly say that such duties have a positive impact on Ukrainian car production industry. In particular, production and sale levels are growing.