The Verkhovna Rada supported in the second reading a package of draft laws on the creation of a special legal regime for Defence City. The initiative is designed to stimulate the development of Ukraine's defense-industrial complex. The aviation builders' trade union notes that taking into account some amendments to the draft laws is a positive signal, but the Ukrainian aviation industry needs additional and more targeted support tools. This was stated by Yarema Zhuhayevych, head of the Trade Union of Aviation and Machine Building Workers of Ukraine, in an exclusive comment for UNN.
I have a positive attitude towards the steps taken for aviation within Defence City, indeed, they heard us. Some enterprises of the industry will become residents, some will not, but we will continue to work to justify the need and ensure the support of the domestic aviation industry through other additional support tools.
According to the expert, aviation in general and aircraft manufacturing in particular play an important role in ensuring the state's defense capability. In today's conditions, aviation enterprises daily prove their strategic value and need the restoration of the system of tax benefits and mechanisms of state support that were in effect until 2025.
"Aviation is not only those who fly, but first and foremost manufacturers who create products. Our enterprises are capable of providing the army with competitive, certified, and reliable equipment. But this requires systematic support – step by step. We will insist on additional guarantees for people and labor collectives – through collective agreements, guaranteed working conditions for personnel, investment projects, financing of priority research and development works, etc.," Yarema Zhuhayevych emphasized.
The head of the Trade Union of Aviation and Machine Building Workers of Ukraine added that the example of European countries shows that state funds for defense programs should be directed to where reliable highly qualified personnel work, the industry pays taxes and has appropriate social guarantees.
"State funds should work for the development of the industry and the protection of workers. We have proven that even in difficult times, the aviation industry has maintained its potential. Therefore, it is now important to take the next step – to create effective support tools specifically for the aviation industry," the expert summarized.
Recall
The Aerospace Association of Ukraine reported that aircraft manufacturing is a strategic industry in Ukraine, which ensures defense capability, provides jobs for over 40,000 people, and creates a multiplier effect for dozens of related sectors.
According to the President of the Association, Viktor Popov, tax benefits for 2017-2023 brought 9.3 billion UAH of released funds to the system, and in return, the state received 22.9 billion UAH in taxes. That is, the effectiveness of tax benefits was 2.5 times, effectively for every hryvnia of tax incentives, the state received 2.5 hryvnias in taxes.
As of January 1, 2025, this support has been cut off, and enterprises are forced to work at their limit, fulfilling defense orders without proper resources. Therefore, the further search for optimal ways to solve urgent issues is critically important.