Opportunities and Threats of Ukrainian Membership in WTO for Engineering under Conditions of Co-operation with EU Countries and Customs Union of Belarus, Kazakhstan and Russia

Abstract

The article considers consequences of the membership of Ukraine in the World Trade Organisation (WTO) for the engineering industry when co-operating with the EU and CU (Customs Union of Belarus, Kazakhstan and Russia) countries. It shows that, after Ukraine joined WTO, tariff rates for Ukrainian products reduced in general and liberalisation of access to the world market took place. Along with it, the internal market of Ukraine became more open for imported products. The article analyses the structure of export from Ukraine after joining WTO in the context of individual types of products. The article identifies changes that took place in the market of engineering products after Ukraine joined WTO. The article shows that by main indicators of economic security the engineering industry of Ukraine cannot be considered as stable and also that, after joining WTO, main indicators of economic security of the engineering industry of Ukraine have not improved. It analyses the structure of export and import of Ukrainian engineering products to EU, CU and other countries. It proves that the most topical for the Ukrainian engineering industry is the issue of realisation of the import-replacement potential and increase of competitiveness of domestic products. It considers the state and changes, which took place after Ukraine joined WTO, in car building. It identifies main problems of domestic car building. It analyses measures of the state programme of Ukraine on economic development.

Keywords

• engineering
• WTO
• opportunities
• threats
• car building