Page 49 - UKRRptOct18

9.1.2 Automotive sector news
Through August, first time sales of used imported cars almost doubled y/y, to 61,900 cars, reports Ukrautoprom, the industry trade association. With sales up 86%, this segment now accounts for 63% of all first time sales.
Car imports from the EU states over the period under review were estimated at $617mn. Ukraine saw a 31% rise in imports of passenger cars in January-July 2018 year-over-year ( y/y), to 107,940 units. Car imports in the seven months were estimated at $1.15bn, while more than half of the cars imported to Ukraine came from the European Union, according to the Ukrainian State Statistics Service. Car imports from the EU over the period under review totalled $617mn, it said. Imports of passenger cars to Ukraine in the first half of 2018 almost doubled y/y, to 67,900 units, according the Ukrautoprom Association. Vehicle output in Ukraine shrank by 57% in July.
9.1.3 Transport sector news
The largest budget passenger airline Ryanair on September 3 launched its first flight from Ukraine to Berlin (Schönefeld) from Kyiv (Boryspil International Airport ). The first flight of the new route from Berlin to Kyiv was 95% full, and 100% full from Kyiv to Berlin, Ryanair's Sales & Marketing Deputy Manager for CEE & Balkans, Denis Barabas, has said. Ryanair will service the route four times a week.
Eight new General Electric diesel locomotives are in Ukraine and are to haul cargo to Black Sea ports by November, Yevgen Kravtsov, chairman of Ukrzaliznytsia, writes on Facebook. With 30 GE locomotives to arrive from the US by the end of this year, the next shipment arrives in mid-October, Kravtsov writes.
Prime Minister Grosyman demands a report next week on the shortage of freight cars and trains from Ukrzaliznytsia’s supervisory board , a new body composed of foreigners and Ukrainians. Infrastructure Minister Omelyan says state railroad causes a ‘thrombus’ (blood clot) in the national economy. Alexander Kalenkov, president of Ukrmetallurgprom, says 320 freight trains failed to appear at metal and mining companies in July and August, causing stocks of iron ore to hit four times normal levels.
Through August, Ukraine’s Black Sea ports handled 85mn tons of cargo, 2% less y/y , the Seaports Administration reports. Within this largely static picture, transshipment of import cargo – goods destined for other countries -- increased by 22% - to 14.7mn tons. Containers increased 16% -- to 528,000 containers.
Rail freight transit transport between Russia and Ukraine has decreased by a factor of five since 2012 , Evghen Kravtsov, chairman of Ukrzaliznytsia, tells Radio NV on Tuesday. This is costly as international freight rates are generally four times higher than domestic ones, he added. Because of Russia’s restrictions on rail freight with Ukraine, Ukraine has also lost transit cargo from Central Asia. The loss of transit fees, he said, “is a very significant and serious economic issue for the smooth operation of Ukrzaliznytsia. What is not received by transit, needs to be received on the domestic market For this reason, it is necessary to increase tariffs in the domestic market.”
49 UKRAINE Country Report October 2018 www.intellinews.com