Industrial parks turned out to be a popular area of ​​investment cooperation with China

by Anastasiia Lieberman
Thursday, October 21, 2021
Industrial parks turned out to be a popular area of ​​investment cooperation with China

Operators of industrial parks in Ukraine are showing great interest in cooperation with Chinese investors to develop their projects, Taras Golub, Advisor to Vice Prime Minister for European and Euro-Atlantic Integration Olga Stefanishina, who also heads the Ukrainian part of the Ukraine-China intergovernmental commission, said in an interview with Silk Bridge.

The commission is engaged in the selection of investment projects that can be implemented in partnership with the Chinese side after passing the examination and other necessary procedures. To date, about 50 projects in the field of infrastructure, energy and agriculture have already been selected.

“Industrial parks turned out to be a very popular destination, especially after the adoption of the new law. It is clear that China is the # 1 country that has experience in implementing such projects. Therefore, there are many applications. And, as a rule, these are private initiatives, ”Golub said.

According to him, such industrial parks as Ecopolis KhTZ from DCH, Park Noval from Smart-Holding, TIS with an industrial park in the port area, a number of small parks located in western Ukraine, including a project supported by Dragon Capital, as well as White Church from UFuture.

“Previously (in joint investment projects - ed.) Only state-owned companies took part. It is thanks to the Belt and Road Initiative that we have received a mechanism for attracting private projects and public-private partnership projects. In private, the dynamics of negotiations are always better. They are better prepared, ”Golub said.

At the same time, he drew attention to the lack of long-term strategies for the development of industrial parks in Ukraine. “Often they only want to get money, but they don’t want to develop park strategies, to promote parks among potential investors in China,” Golub said.

“I hope that the adoption of the new law on industrial parks will create an impetus for increasing the professionalism of Ukrainian companies in this area,” he added.

We will remind, on October 6, President Volodymyr Zelenskyy signed bill No. 4416-1, providing financial and institutional incentives for industrial parks and their residents. Among them - the possibility of budget financing for bringing infrastructure and engineering networks to industrial parks, the possibility of compensating the cost of connecting to networks within the park. It also provides for the possibility of compensation for interest rates on loans for the purchase of new equipment.

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