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Among the far abroad countries, Ukraine’s largest trading partners in 2002.

National value added is defined as the difference between the price of the final product and the value of imported materials and semi-finished products used to produce this product. While the nominal duty is more important for consumers because it determines the degree of price increase in the domestic market, the degree of effective protectionism is more important for producers because it determines the degree of real protection of domestic ideas for narrative production that competes with foreign.

Non-tariff methods of regulating international trade

Although tariff has historically been the most influential method of trade restrictions, there are many other types of trade restrictions, such as import quotas, administrative measures and anti-dumping regulation. The importance of such non-tariff restrictions increased significantly in the postwar period.

The most important type of non-tariff restriction is a quota, which is a direct quantitative restriction on the volume of goods that can be exported or imported. Consider first the mechanism of action of import and then export quotas.

Import quotas may be used to protect national industry, agriculture and / or to balance trade and balance of payments. Import quotas were most widespread in Western Europe after World War II.

Consider other than tariffs and import quotas, types of trade restrictions. These will include voluntary export restrictions, technical, administrative and other types of regulation. Such trade restrictions arose as a result of the proliferation of trade cartels, the expansion of dumping and export subsidies. Recently, such non-tariff restrictions have become increasingly influential in restricting trade flows.

One of the important methods of non-tariff restrictions is the voluntary restriction of exports. By such measures we mean a situation where an importing country forces another country, its trading partner, to "voluntarily" limit its exports under the pressure of stricter trade restrictions if it threatens the industry of the importing country. Voluntary export restrictions have been the subject of negotiations between the United States, Europe, and other countries, both developed and developing, since the mid-1950s. in such industries as steelmaking, textiles, electronics, automobiles.

International trade flows are also limited by numerous technical, sanitary, administrative and other rules and regulations. These may include safety requirements, for example for cars and electrical equipment, sanitary and hygienic standards for food and personal use, labeling and packaging requirements, which should include information on the country of origin and the contents of the product.

Although most of these requirements are reasonable, there are curious cases, including a ban on showing foreign films on British television, a ban on whiskey advertising in France.

Another trade restriction is the legal requirement in many countries for their own governments to buy only domestically produced goods.

International cartels are an organization of producers located in different countries (or groups of governments), and who agree to limit the production and export of goods in order to maximize or increase the gross profit of members of the organization.

Although national cartels are banned in most countries, it is not easy to assess the power of international cartels because their activities do not fall under the jurisdiction of any country. The most well-known international cartel today is the Organization of the Petroleum Exporting Countries (ORES), which, by restricting crude oil production in 1973 and 1974, forced prices for these goods to quadruple.

Trade barriers may also arise from dumping. Dumping is the export of a good at a price below its cost of production or when its domestic price is higher than the price at which the good is sold abroad.

Export subsidies are direct payments or grants of tax benefits or concessional credits to national exporters or potential exporters, as well as concessional credits to foreign consumers in order to stimulate national production. In this case, export subsidies can be considered as forms of dumping. Although export subsidies are illegal under multilateral international agreements, many countries provide them in secret.

And the last. Protectionist measures may apply to those industries that must compete with products produced in developing countries that have less economic and political power than developed ones in order to effectively address barriers to their exports. Note that some of the above theories partially intersect, others are contradictory, and the rest do not have sufficient empirical justification.

06/05/2011

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The role of foreign trade in Ukraine. Abstract

Foreign trade remains an important source of investment goods, and also plays an important role in supplying the population of Ukraine with food and various goods.

The role of the foreign economic complex in the country’s economy is constantly growing.

The growth of foreign trade, and especially exports, was one of the most important factors delaying the fall in GDP.

Ukraine’s foreign trade turnover (excluding unorganized trade) increased from $ 95.2 billion in 1993. to 126.6 billion dollars in 2002, or by 33%, including the turnover with foreign countries increased during this period by 39% – to 98.8 billion dollars, with CIS countries – by 15% and numbers to 27.8 billion dollars.

Positive balance of trade in comparison with 1993 grew by more than 43% and reached 33.2 billion dollars, almost entirely at the expense of foreign countries.

In the foreign trade turnover of Ukraine in 2000. foreign countries accounted for 75% in 2002. – 78%, for the CIS countries – 25% and 22% respectively.

Among the far abroad countries, Ukraine’s largest trading partners in 2002. were:

Germany ($ 12.6 billion); US ($ 7.2 billion); Italy ($ 5.2 billion); The Netherlands ($ 4.8 billion); Finland ($ 4.4 billion); Japan ($ 4.4 billion) China ($ 4.3 billion) Great Britain ($ 4.2 billion)

From CIS countries:

Russia ($ 13.6 billion); Kazakhstan ($ 5.1 billion); Belarus ($ 5.0 billion).

Ukraine’s exports increased during this period from 59.2 billion dollars to 79.9 billion dollars, or 35%, while abroad they increased from 44.3 billion dollars to 65.7 billion dollars (+48, 2%), in the near future – decreased from 14.9 billion dollars to 14.2 billion dollars (-4.3%). As a result, the share of foreign countries in total exports of Ukraine increased from 74.9% in 1993 to 82.2% in 1997, and the CIS countries – decreased from 25.1% to 17.8%.

The analysis of the geography of export supplies shows the orientation of Ukrainian participants in foreign trade mainly to industrialized countries. In recent years, no significant changes in the geographical distribution of exports to foreign regions have been observed.

The commodity structure of exports continued to be raw materials with a predominance of energy. At the same time, the share of unprocessed raw materials in this period decreased slightly due to the outstripping growth in exports of metal products, fertilizers, petroleum products, products of organic and inorganic chemicals, paper, and others. The share of energy exports to foreign countries decreased during this period from 46 to 41%.

The growth of exports to foreign countries was due not only to an increase in its physical volume, but also largely to rising world prices for fuel and raw materials. As a result of the action of these two factors, ammonia – 1.7 times, mineral fertilizers – 2.2 times, rubber – 2.6 times, pulp and paper – 4.3%, aluminum and ferroalloys – 1, 8-3.0 times.

Exports of Ukrainian engineering products in 2002 was above the level of 1993. by 12.7% and to $ 8.1 billion. However, despite the growth in value, its share in total exports of Ukraine decreased from 12.1% in 1993. up to 10.2% in 1997 The decline in the volume of exports of civilian equipment to foreign countries continues with its simultaneous growth in the CIS countries , where their share was in 2000.about 20%.

The volume of Ukrainian imports in 2002 increased compared to 1993 from 36.61 billion dollars to 46.7 billion dollars (+ 29.5%), including from abroad – from 26.8 billion dollars (+ 23.7%), from the near – from 9, $ 2 billion to $ 33.2 billion (+ 46.2%). [10, p. 659]

In 1993-2002. certain changes in the geography of Ukrainian imports were noted. The share of foreign countries decreased from 73.3 to 71%, while the share of CIS countries increased from 25.7% to 29%. There was also a redistribution of imports between foreign countries.

The structure of imports was affected by a further decline in domestic production. In particular, this factor is responsible for a significant volume of food imports (about 30%). The stabilization of the hryvnia against the dollar contributed to the increase in the efficiency of import operations and the growth of their volumes.

In 1993-2002. purchases of basic foodstuffs – meat, poultry, animal and vegetable oils, fruits, and coffee – increased several times. Imports of alcoholic and non-alcoholic beverages continued to increase, reaching in 2002. almost 2 billion dollars, which accounted for more than 4% of total Ukrainian imports. At the same time in comparison with 1993. Imports of grain fell sharply, especially from foreign countries (8 times), as well as clothing and footwear (3 times).

Imports of machinery and equipment from foreign countries increased 1.7 times during this period with some decrease from the CIS countries. The share of machinery and equipment in Ukraine’s imports in 2002, to 34%. Increase in imports of machinery and equipment compared to 1999 by 31.4% – up to $ 17.9 billion confirms the positive changes in the structure of imports: after the decline in imports of machinery and equipment in 1993. its purchase since 1998. began to increase.

06/05/2011

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Ukraine’s foreign trade, its state, problems and ways to improve.