Ukraine warns EU of trade retaliation amidst stalled talks
Ukrainian Deputy Minister of Economy Taras Kachka warns the European Union about possible trade consequences if trade relations with Kyiv are not adequately structured. If not, retaliation should be expected.
Ukrainian Deputy Minister of Economy, Taras Kachka, expressed dissatisfaction with the slow pace of talks regarding extending Ukraine's duty-free access to the EU market. According to "Politico," Kachka suggested that Ukraine is ready for retaliation if some countries, including Poland, Slovakia, and Hungary, continue to block negotiations.
Ukraine ready for retaliatory actions
Kachka emphasized that the lack of progress in the talks might force Ukraine to take steps to balance the trade relationship.
Kachka said during a public appearance that these decisions will be the least pleasant for the countries that are currently politically slowing down the free trade negotiations.
According to Politico, Ukraine imports more from the EU than it exports, leaving a trade surplus in favour of the Union. The Deputy Minister noted that any trade conflict could hurt European businesses more than Ukraine, as European exporters sell more goods to Ukraine than imports from it.
Controversial statements by Kachka
Taras Kachka had previously threatened Poland with a lawsuit against the World Trade Organization for imposing an embargo on Ukrainian grain. Jacek Zarzecki from the Polish Sustainable Beef Platform commented that Kachka "confused courage with weights." The Deputy Minister also suggested that aggressive actions might be taken against Polish carriers.
"Politico" reminds us that the EU is the largest recipient of agri-food products from Ukraine, which makes the situation even more complex. These products are worth about 17 billion CAD, with a surplus of about 12 billion CAD in favour of Ukraine. Kachka emphasizes that Europe benefits more from trade with Ukraine than vice versa.
