This decision was a response to an attempt to introduce additional duties on imported cars.
The VAAlD states that this step should draw the state's attention to the situation of the car business and show what will happen to the market if the initiatives of the Ministry of Economic Development and Trade to introduce additional duties of 6% and 15% are implemented.
Instead of the many world premieres that were planned for display at the 'VAAlD Kyiv Automotive Show 2012', the pavilions will be empty. Car dealerships will also empty if special duties are introduced, said VAAlD CEO Oleh Nazarenko.
The Ministry of Economic Development and Trade proposes to introduce a special duty on cars classified under UCTZED codes 8703 22 10 00 and 8703 23 19 10 for a three-year period, in the following amounts:
- For cars with an engine displacement from 1,000 to 1,500 cm³ — 6.46%
- For cars with an engine displacement from 1,500 to 2,200 cm³ — 15.1%
This duty will be levied in addition to the existing 10%.
VAAlD has already used similar tactics before. In 2009, protesting against the introduction of a 13% 'Terekhin' surcharge on duties, importers canceled the holding of a similar auto show. Then they managed to achieve the cancellation of the surcharge already in September, and the refusal of such a large-scale event as the Kyiv Auto Show did not go unnoticed.
However, Kyiv residents will not be left completely without car novelties. From May 23 to 27, the annual SIA'2012 auto show will be held in the capital.
