Ukraine - Industrial Manufacturing

The Ukrainian government is focussing on industrial production. Companies that cooperate with Ukrainian partners benefit from tax breaks and investment incentives. Investors value the country's highly qualified specialists, long engineering tradition and raw materials-based economy. Ukraine has considerable raw material deposits that are of great international importance. In addition, Ukrainian companies are able to react quickly to changes in customer behaviour and therefore also flexibly serve premium segments.

Industrial production in Ukraine offers attractive opportunities for German investors. Despite the current challenges, the country remains a promising location with its skilled labour base, low production costs and strategic location. Tax breaks and government incentives also encourage investment and create long-term benefits for companies.

Ukraine is rich in raw materials such as steel, iron, nickel and rare earths - this significantly reduces material costs for manufacturing companies. Companies in the mechanical engineering, automotive, metalworking and electrical engineering sectors in particular benefit from these locational advantages. Thanks to the free trade agreement (DCFTA) with the EU, products from Ukraine can also enter the European market duty-free, which creates additional competitive advantages.

The Ukrainian government is systematically driving forward the modernisation of industry and supporting foreign investors with investment protection laws, state guarantees and financial incentives for major projects. Close cooperation with international financial institutions also facilitates access to capital and reduces investment risks.

Another important factor is the flexibility of Ukrainian companies. Thanks to their adaptable production structures, they can react quickly to market fluctuations and supply high-quality products for different market segments. This allows German companies to react dynamically to global changes in supply chains and tap into new business areas.

KPMG supports companies at every step of the investment process. Our team of experts provides support with market analyses, location decisions, tax optimisation and legal issues. We also advise on corporate strategies, financing and Risk management to ensure sustainable success. Particularly in the current reconstruction phase, investments in Ukraine not only offer economic advantages, but also contribute to the stabilisation and further development of the country.

Overall, Ukraine opens up a wide range of opportunities for German companies as an industrial location. Early engagement enables investors to better understand and master the complexities and challenges associated with Ukraine's economic recovery. With KPMG as a partner at their side, a successful market position can be established.