The International Chamber of Commerce (ICC) Ukraine has urged the government to implement measures aimed at reducing the financial burden on the industrial sector, emphasizing the need for lower logistics and energy costs. According to officials, the industrial sector accounts for approximately 20% of Ukraine’s GDP, with the mining and metallurgy sector currently contributing about 5.5%, down from over 10% before the full-scale war began.
In 2021, the mining and metallurgy sector generated around $22 billion, but this figure has plummeted to about $6 billion annually. Employment in the sector has also significantly declined, with the number of workers dropping from over 130,000 to just over 60,000.
Ivanuk, a representative of ICC Ukraine, noted that each job in metallurgy supports more than seven jobs in related sectors. Therefore, the shutdown of major industrial enterprises could have far-reaching consequences for the economy. One of the primary challenges he highlighted is the ongoing issues with maritime logistics. Due to restrictions on Black Sea ports, the industry has lost its primary channel for large-scale exports, and no viable alternative exists.
In 2025, approximately 80 million tons of cargo were transported through Ukraine’s deep-water ports. However, Ivanuk estimated that the potential for redirecting this traffic to the Danube River is limited to just 28 million tons. Moreover, transporting goods overland through EU countries is two to three times more expensive, making it economically unfeasible for low-margin products. Another concern raised by ICC Ukraine is the recent 30% increase in freight tariffs by Ukrzaliznytsia. Ivanuk described reducing the tariff burden as one of the state’s most urgent tasks.
He pointed to Canada, which, despite not being at war, allocated funds to reduce its railway and port tariffs by 50%. According to Ivanuk, Ukraine should adopt similar measures to support its industrial sector and reduce the financial burden not only in logistics but also in energy and other areas. He advocated for a reduction in the overall tariff burden on businesses to ensure that enterprises can operate and continue exporting.
Ivanuk explained that freight transportation by Ukrzaliznytsia was profitable in 2025, while the main losses occurred in the passenger segment. He argued that shifting these costs onto industrial shippers further diminishes the competitiveness of Ukrainian businesses. He also urged the government to accelerate negotiations with the European Union regarding the Carbon Border Adjustment Mechanism (CBAM) and quotas on Ukrainian metal products.
He stressed that Ukrainian enterprises are operating under conditions significantly different from those of EU manufacturers due to the war. Therefore, Ukraine must seek a special regime for the application of CBAM and at least maintain quotas for metal products at the level of actual exports in 2025.
Access to financing remains another pressing issue. State support programs primarily focus on small and medium-sized businesses, while large enterprises in frontline regions also face damage, reduce production, and require funds to retain their workforce.
According to Ivanuk, the government’s industrial policy must include provisions for lowering logistics and energy costs, restoring access to external markets, financing production, and preserving jobs. “Our only desire is to survive, work, and export,” he concluded.
