The Beginning of a Flourishing Trade
Ukraine formed part of the 15 republics of USSR. It became independent though in 1991. It occupies the Black Sea's northern shore and is bordered by other countries such as Czech Republic, Slovakia, Poland, Hungary and Romania. Its capital known as Kiev plays a vital role in its economy thus promoting the rules of trade in the entire nation. Economically, USSR regarded Ukraine as the second among all republics in terms of importance. It ranked next to Russia which is one of the strongest nations in the world. Ukraine is considered as the largest producer of coal and embraces the largest mining area for ore. Steel, titanium and manganese were principally mined in the country. It is also founded on a vast land for agriculture. Labor, education, agriculture and industry are the key aspects of the economy of Ukraine. With these data, it has been said that it could be one of the strongest European economy. There was some sort of decline seen up to the early part of the 1990's but it was reciprocated by a better standing in global economy which began in the year 2000. It had recorded economic growth at its highest in 2004 at 12.1 % and as of 2007 the development was seen at 7.2%. The area is rich in natural resources with the ferrous metal industry as well as other industries for chemicals, steel pipes, coke, mineral fertilizers and sulfuric acid taking the lead. Its manufacturing scene is comprised of goods like metallurgical equipment, locomotives, airplanes, tractors and turbines. The prime crops are beet sugar, sunflower seeds and grain. The country had always believed and depended upon financial investment on a large scale. This is very important especially with only 17 years as an independent nation. They have given all the right for foreigners to do business as well as purchase the existing companies which need financial support from people like them. But for some reasons, the proposal of the Ukraine government for direct foreign investment was not realized. This was due to corruption coupled with weak laws under constitutional governance. Soviet Union's dissolution in 1991 had provided greater opportunities for the republics formed after its closure. Ukraine was recognized by the United States and in January of 1992, the latter improved its own Embassy in the capital city of Kiev. The prospering market economy played an important role in Ukraine's transition into a democratic country. Major Exports and Imports Between the Two Nations With the US's strong belief in the capabilities of Ukraine, they have started trading even right after the USSR's dissolution. The United State's acceptance of this formerly communist nation paved the way to a better stand on democracy. Trade was then enhanced and the supply of goods going to and coming from both nations was seen to comprise a well-balanced economic system. The US Census Bureau in its 2008 report had recorded a total of $1.25 billion US exports to Ukraine. Its imports on the other hand were tracked at $1.50 billion. These statistics comprises the eight-month period ending August 2008. For the year 2007, the said agency had given the following economic census results for the trade between these two nations:
Since its inclusion as one of the comrades and trade partners of the US in 1992, Ukraine had sought a lot of benefits from the US. To strengthen their bond, the Freedom for Russia and Emerging Eurasian Democracies and Open Markets (FREEDOM) was made in the said year. Ukraine was the primary focus of the assistance and since then, around $3 billion had been invested by the US in the said country. This further promoted economic, political and security as well as health and humanitarian aid in Ukraine. To reinforce the rules of trade, the Ukraine Trade Relations Agreement was placed into force. Specifically, this pact concentrated on the following:
Despite the support given by the US to Ukraine, it could not be avoided that some conflicts were seen along the way. This may have hindered their relationship to some effect. Primarily, the basic dispute was on the interest of public administration. Ukraine, being a young member of the world economy, has some conflicts in its government which have not been governed by the code of ethics. This may have taken apart the coming in of foreign investment from other countries. Another essential conflict that needs to be resolved immediately is on the commercial disputes. Some judicial decisions were said to be undertaken by Ukraine especially that some big US companies entering their land was rendered into confusion of primary business laws and standards. To this end, monitoring of the achievement of primary goals was to be tracked by the US to see whether or not the Ukraine side is doing their own share. What Lies Ahead on Their Trade In order to resolve the very minor disputes that they have, representatives from both governments sat down and discussed things. They have instituted a plan which could further stabilize their relationship in international business. Furthermore, they took full responsibility for their actions and saw to it that vested interests are eliminated from the trade route. The efforts are too extensive for both sides to meet in the end. Ukraine wants to pursue its dream of gaining cognizance in world economy, thus it complied with every requirement imposed by the United States. Still in the process of learning though, US had stood by Ukraine and sustained its faith in its economic capabilities. The questioning has to end where they have made forums and conferences effective enough to address matters. Legislations were intensified and global standards have interfered. With all these things, much is yet to be seen in the future of the US-Ukraine trade relations. US-Ukraine References
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Ukraine's main industries include mining (especially coal), electric power, ferrous and nonferrous metals, machinery
and transport equipment, chemicals, sugar and other food processing.
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