Abstract

2009 has marked the start of a decline in Ukrainian automotive industry. Its volumes neared insignificancy in 2020. The authors consider the issue of the industry’s revival in the national economy. The basis of the concept is the creation of enterprises for the production of electric vehicles, including components, semi-finished products and accessories to them. It is suggested that investors can be attracted by developing cooperation of legislative and governmental institutions and local governments with world market leaders and taking measures to improve the national indicators in terms of the ease of doing business. It is proposed to focus the business philosophy of new enterprises on the use of vehicles rather than the field of production, as has been the case since the invention of the automobile. The choice of innovative areas should take into account the megatrends and use individualization, urbanization, artificial intelligence, mobility, digital culture, cooperation with other industries, offers of additional goods and services as its foundations.

Highlights

  • In 2021, Ukraine celebrates the 30th anniversary of its independence

  • Ukraine has a GDP per capita of $11,871 PPP, which, in Europe and Central Asia, exceeds only Tajikistan and Kyrgyzstan

  • The share of processing industry in the structure of gross value added has a steady downward trend and amounted to 11.6% in 2018 compared to 13.0% at the beginning of the decade (2010), and 19.4% at the start of the century. This kind of deindustrialization determines the low level of competitiveness of the economy and requires the development of a radical strategy to increase the role of industry in GDP

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Summary

Introduction

In 2021, Ukraine celebrates the 30th anniversary of its independence. In this time, the country’s economy has undergone a transformation from a socialist system to a “trophy” in the hands of oligarchic economic actors. The share of processing industry in the structure of gross value added has a steady downward trend and amounted to 11.6% in 2018 compared to 13.0% at the beginning of the decade (2010), and 19.4% at the start of the century This kind of deindustrialization determines the low level of competitiveness of the economy and requires the development of a radical strategy to increase the role of industry in GDP. The experience of the Visegrad Four countries is important for Ukraine because the development of the automotive industry introduces them to a market with high effective demand, one that is changing rapidly and growing at the same time The development of this industry leads to the creation of a large number of enterprises specializing in the production of parts, semifinished products and accessories, the provision of sales and logistics services. The technological capabilities of the automotive industry gradually form local, regional and international production networks, which become the basis for the country's inclusion in the system of European economic integration, as evidenced by the experience of the Czech Republic, Slovakia, Poland and Hungary

Analysis of recent research and publications
Development of the automotive industry in the years of Ukraine’s independence
Revival of the automotive industry of Ukraine: priority conceptual components
Avenues for revival of the automotive industry of Ukraine
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