At of time of writing, it has been 559 days since Russia invaded Ukraine in February 2022, marking the start of a conflict which has devastated significant portions of the country. Despite their trials and tribulations, the Ukrainian people are refusing to be defined by their troubles. Instead, Ukraine is determined to ensure that life still goes on and an important part of this is by ensuring the continuation of trade and investment ties.
In an exclusive interview with International Business Review, the Hon. Taras Kachka – Ukraine’s then-Deputy Minister of Economy, now Deputy Prime Minister for European and Euro-Atlantic Integration – reveals how his nation aims to enhance economic relations with Southeast Asia, as Ukraine looks beyond the fog of war.
Trade has always been a lifeline for Ukraine, connecting it to the global economy. Despite the challenges posed by the conflict with Russia, Ukraine has shown remarkable resilience in maintaining its trade relationships. The war and navigation obstacles have affected some sectors, but the agricultural exports of grains, vegetable oils, and sunflower oil remain strong, with significant shares in Southeast Asia, even in 2022 when trade hurdles were at their highest.
Kachka highlighted the promising areas for future trade growth between Ukraine and Southeast Asia. These include grains, vegetable oils, food products, heavy machinery, and aerospace technology and equipment.
Ukraine’s well-developed industry and proximity to the European Union position it as an ideal partner for Southeast Asian traders. Kachka underscored the significance of collaboration in food security, aviation, and high technology, including financial technology, which is a rapidly growing field. This collaboration not only ensures mutual economic growth but also bolsters global food security and strengthens the supply chain in the face of vulnerabilities exposed during crises like the COVID-19 pandemic and the war in Ukraine.
“We maintain open and productive discussions with each individual member of the ASEAN community, and we are committed to enhancing our collaboration on all fronts.”
He highlighted Ukraine’s economic resilience despite the ongoing war in the country, and emphasised it as a sign of trade reliability.
Investment incentives in Ukraine are also a crucial part of the plan to attract Southeast Asian companies. The government offers tax benefits and individualised approaches, making it an appealing destination for business ventures.
Ukraine’s Deputy Minister of Economy sends a clear message to Southeast Asian nations – Ukraine is open, reliable, and eager to establish strong trade and investment relationships.
Despite the ongoing conflict, Ukraine’s economy is resilient and open for business, making it an attractive partner for Southeast Asian countries looking to expand their global presence. As both regions navigate the challenges of an ever-changing global landscape, their cooperation promises to be a beacon of resilience, growth, and innovation.
