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Ukraine Moves toward the European Economy
Kommersant ^ | JUNE 30, 2005 | Aleksandr Vinogradov

Posted on 06/30/2005 1:09:30 PM PDT by Lukasz

The VIII Ukraine–Poland economic forum opened yesterday in Gdasnk, where the presidents of Ukraine and Poland, Viktor Yushchenko and Alexsander Kwasniewski, will arrive today to take part. Kiev is pinning particular hopes on cooperation with Poland, relations with which have significantly strengthened since the Orange Revolution, which received support from Warsaw.

Last year's Ukraine–Poland economic summit was held in Yalta two months after Poland's entry into the EU. Polish President Aleksander Kwasniewski and then Ukrainian President Leonid Kuchma took part in the proceedings. At that time, relations between the two countries were difficult. However, this past year, Ukraine and Poland have become close allies. The new Ukrainian President, Viktor Yushchenko, who said his ultimate goal during his term in office was see Ukraine join the European Union, is steadfastly counting on Poland's help in this. Talks between Yushchenko and Kwasniewski are planned within the framework of the present summit. The presidents last met a week ago when they opened a memorial in the Polish military cemetery in Lviv; in Kuchma's time, the opening was repeatedly postponed due to political differences.

The recent strengthening of ties between Kiev and Warsaw has already had a favorable effect on Polish public opinion. Results of the latest polls published just before Yushchenko's visit to Poland show that Poles have started to think better of Ukraine. For the first time since Ukraine became independent, Poles have a greater liking for it than Germany (8 percent more). However, Poles consider Czechs and Slovaks their best neighbors, and Russia and Belarus as their worst.

Working meetings went on yesterday as part of the forum, which was organized by the Polish Chamber of Commerce. The concluding documents and agreements will be signed today; the most important of these is an agreement on the privatization of the Warsaw auto plant FSO (Fabryka Samochodow Osobowych) by the Ukrainian corporation AvtoZAZ. The Polish plant, set up in 1948, first put out the Polish versions of the Pobeda (Warszawa and Syrena) and then produced cars under license of the Italian company Fiat (Polish Fiat and Polonez). Today, the plant produces mainly Daewoo products. According to Kommersant's information, after the plant is modernized in 2007, a new car model will be introduced. This will be a cross between the Zaporozhets and the Tavria costing up to 8000 zloty (€2000) each. There are plans to output 150,000 cars, which will be sold in Ukraine, Central Asia, and maybe even Poland itself.


TOPICS: Business/Economy; Foreign Affairs
KEYWORDS: kwasniewski; poland; ukraine; yushchenko

1 posted on 06/30/2005 1:09:31 PM PDT by Lukasz
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To: Lukasz

I think I'd be nice to see a freer market Ukraine. I hate the EU though, it reminds me of Enron.


2 posted on 06/30/2005 1:27:00 PM PDT by kharaku (G3 (http://www.cobolsoundsystem.com/mp3s/unreleased/evewasanape.mp3))
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To: kharaku

Generally EU has very positive influence to Eastern European countries. Problem with EU is that they have negative influence to itself.


3 posted on 06/30/2005 1:43:34 PM PDT by Lukasz
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To: Lukasz

My qualm with the EU is the value and influence of the Euro, not their attitude toward the former soviet bloc :)


4 posted on 06/30/2005 1:49:47 PM PDT by kharaku (G3 (http://www.cobolsoundsystem.com/mp3s/unreleased/evewasanape.mp3))
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To: Lukasz

It seems to me that western Ukraine is a natural friend and ally of Poland. Eastern Ukraine, however, may be another matter.


5 posted on 06/30/2005 2:15:18 PM PDT by Malesherbes
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To: Lukasz

"Generally EU has very positive influence to Eastern European countries. "

The Old European economies are stagnant and becoming disfunctional - Poland and Ukraine are far more vibrant and I think that growth will continue here at the expense of France, Germany, etc.


6 posted on 06/30/2005 2:15:32 PM PDT by spanalot
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To: Malesherbes

With time if Yushchenko’s team would avoid mayor mistakes, people from Eastern Ukraine will have more trust to him and his ideas. They were long time under the Russian influence and actually they have some false stereotypes about the “west” and especially about NATO. After revolution their media become more free and their coverage is more objective and that is the most important thing.


7 posted on 06/30/2005 2:30:26 PM PDT by Lukasz
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To: spanalot

Ukrainian economy will become vibrant, now they needs many reforms and some time to do that.


8 posted on 06/30/2005 2:34:14 PM PDT by Lukasz
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To: anonymoussierra; Grzegorz 246; lizol; Lukasz

It is very important for Poland to heavily invest in Ukraine and other neighbors sharing borders with Russia so it does not fall under the influence of Russia again. This is a good move.


9 posted on 07/01/2005 12:24:27 AM PDT by Wiz
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To: Wiz

Btw also yesterday other Ukrainian company won privatization of one of Polish ironworks. People expected probably that Polish companies will takeover Ukrainian ones, somehow it is otherwise now :) But I think that Polish investors waiting to see how situation will develop there.


10 posted on 07/01/2005 2:23:43 AM PDT by Lukasz
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