“Shadow” scrap metal exports will harm Ukraine’s European integration, expert says

The return of shadow schemes in scrap metal exports will harm Ukraine’s European integration.

This opinion was expressed by political scientist Taras Semenyuk, Business Censor reports.

Semenyuk said that the cancellation of the Cabinet of Ministers’ decision to temporarily introduce a “zero” quota for scrap metal exports from Ukraine would look like a “step back” in the fight against corruption.

“After the high-profile corruption scandal in the energy sector, the European Commission is monitoring the situation in key sectors of the Ukrainian economy much more closely. Scrap metal exports are no exception. Especially considering that for duty-free exports to the EU, Ukrainian companies receive EUR.1 certificates of origin, which are automatically recognized by the European Union. And it is precisely the procedure for their issuance that has accumulated a lot of questions,” he noted.

The expert noted that the government resolution on a temporary restriction on scrap metal exports should contribute not only to stabilizing the domestic market, but also to stopping possible abuses. After all, the rapid growth of exports of strategic raw materials by nine times “can hardly be explained only by market factors.”

Semenyuk believes that attempts to return the old rules look like an attempt to revive “shadow” schemes, which, if successful, will have much wider consequences than losses for the economy. In particular, it is about the European Union’s trust in Ukraine as a partner.

Earlier, USM reported that scrap metal exports from Ukraine increased by 45%.