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AK "Bogdan motors" is ready to increase the localization of production of trolleybuses in Ukraine up to 50%

Ukraine / Engineering
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In "Bogdan motors" I believe that this should be the requirement of localization of production of trolleybuses in Ukraine, because Ukrainian enterprises have already carried out work on the domestic production of traction motors, current collectors, control systems for traction motors, nodes, joints and other components.

AK "Bogdan motors" is ready to increase the localization of production of trolleybuses in Ukraine up to 50%

Ukrainian automaker "Bogdan motors" said about ready to release the trolley with a localization level of over 50%. Commenting on the General thrust of bill No. 3739, which has a required percentage of production localization on the territory of Ukraine for participation in public procurement, JSC "AK "Bogdan motors" said that the company for several years initiates discussions about the need for the adoption of legislation for regulation of public procurement in terms of public and community transport.

the company believes that this should be the requirement of localization of production of trolleybuses in Ukraine, because Ukrainian enterprises have already carried out work on the domestic production of traction motors, current collectors, control systems for traction motors, nodes, joints and other components.

In "Bogdan motors" I believe that measures to introduce mandatory localization on the public procurement market in terms of public and community transport will contribute to the rise in domestic production and the creation of fundamental conditions for Ukrainian business in a situation when the surrounding markets is quite predictable will introduce protectionist measures. Implementation of priority for Ukrainian enterprises will allow to stop the de-industrialization of the country and the fall in GDP growth.

Introduction localization will load the Ukrainian enterprises and to keep taxes in Ukraine. Launching such initiatives will also facilitate the attachment of additional foreign investment in manufacture of units, parts and assemblies on the territory of Ukraine. And this additional jobs and additional revenues to the budgets of all levels.

"In the Ukrainian society there is a mistaken belief that in accordance with the requirements of the world trade organization the country's market must be completely open and unprotected. In fact, the founding documents of the WTO do not contain any such categorical requirements and, moreover, allow it to do. It, unlike Ukraine, is very well used by other member States of the WTO, establishing protective tariffs, or legislatively consolidating the requirements for localization of production", - noted in "Bogdan motors".

Previously, the company has already drawn attention to official figures showing that car production in Ukraine decreased by more than 15 times - from 97 585 units in 2011 to 6 254 units in 2019, while sales of imported cars (new and used) has reached the end of 2019, with 490,000 units.

Production of buses in Ukraine decreased by more than 4 times with 3 738 units in 2011, up from 875 in 2019. The export of Ukrainian buses decreased from 1 066 units in 2012 to 21 units in 2019 the Import of buses has reached 3 million units in 2019.

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