How will the new bill on registering US cars affect Ukrainians?

Today we’ll discuss an issue that concerns millions of Ukrainians. 

A new bill on the registration of cars imported from the U.S. The full title of the resolution is: “On Amendments to the Procedure for State Registration (Re-registration) and Deregistration of Cars, Buses, as well as Self-Propelled Vehicles Built on the Chassis of Cars, Motorcycles of All Types, Makes, and Models, Trailers, Semi-Trailers, motorized tricycles, other equivalent vehicles, and mopeds”

You need to understand that this is merely a draft, which will likely not be approved. And here’s why!

The most important argument is the revenue to the Ukrainian budget from imported cars from the U.S., which amounts to as much as 9 billion UAH per year! The sum is astronomical, and there are quite a few cars (no fewer than 120,000 imported cars per year)!

Giving up such revenue with a constant budget deficit is unthinkable!

Let’s imagine that, under the proposed bill, it would no longer be possible to register cars from the U.S. in Ukraine with a “Salvage Title.” In that case, buying damaged cars in the U.S. with clean registration documents would become economically unprofitable! Cars from the U.S. would no longer be imported, causing car prices to rise, budget revenues to decrease by 9 billion UAH per year, and hundreds of thousands of people involved in logistics in Ukraine—including port transshipment, auto repair, and certification—will lose their jobs. 

Interestingly, all countries allow the import of such cars, provided they are registered only after being fully restored and passing a technical inspection! 

We appeal to the Ukrainian authorities! 

We ask you to reject this bill, as it will have numerous negative consequences for our country’s economy and for Ukrainians! When making your decision, please consider that:

• The U.S. market gives Ukrainians the opportunity to purchase cars that meet EURO 5 and EURO 6 standards.
• This sector provides jobs for thousands of Ukrainians. Do you have the ability to provide people with other jobs, or will they have to leave the country to find work elsewhere?
• This resolution could create additional opportunities for intermediaries who specialize in circumvention schemes.
• For more than three years, this sector has been nothing but beneficial for our country and our citizens. Make a decision that benefits Ukraine and its people!