This article discusses plans of a #German producer of #cables and #wires to #expand its #business presence in Ukraine by construction of another #manufacturing facility.
Visit our website if you are interested in #doing business in Ukraine or looking for new #investment opportunities.
Leoni AG, a global producer of wires, optical fibers, cables and cable systems is seeking to expand its business presence in Ukraine. Recently it was announced that the company is going to build its second manufacturing factory in Ukraine.
The plant will be located in Ivano-Frankivsk region and is planned to be completed in 2017. First stage construction works are estimated to be approximately of EUR 15 million worth. Following completion the plant will create 800 working places and in 2021 it is expected to allocate 8150 employees.
We note that Leoni AG has a factory in Lviv region in Ukraine which was built in 2003.
According to the Delegation of the German Economy in Ukraine, an organization that promotes and supports bilateral business relations between Ukraine and Germany, there is a continuing rise in the number of German companies which establish legal presence in Ukraine. In accordance with data provided, the number of such companies starting from March 2013 has increased by six percent. In addition, the overall share of German economy in Ukraine has increased by 5.1 percent.
We note that on 16 March 2016 the Verkhovna Rada of Ukraine ratified the Agreement between the Government of Ukraine and the Government of the Federal Republic of Germany on establishment of the German-Ukrainian Chamber of Commerce and Industry. The Agreement was approved on 23 October 2015 at the Ukrainian-German business forum in Berlin. The main intentions of the parties upon signing of this Agreement were creation of means for development of trade and economic relations between German and Ukrainian entities with mutual protection of business interests in both countries. In addition, execution of the Agreement confirms recognition of Germany as the valuable economic partner of Ukraine and creates basis for further development of mutual collaboration between Ukraine and Germany.