Ukrainian Authorities may Dump Turkish Defence Partners, as well as they did with Chinese Investors of Motor Sich, Says Expert

The expert advised the Turkish partners of Ukraine to take the queue in international arbitration after the Chinese investors of Motor Sich.

Turkish authorities and business were advised to be very careful about the promises of the Ukrainian leadership on interaction and joint development in the aircraft industry.

It was stated by the Board Member of the Ukrainian-Chinese Investment Club Andriy Pylypenko’s comments on media reports on the results of the visit of the Ukrainian delegation to Turkey for negotiations, including on issues of military and technical cooperation.

‘Apparently, everyone has already forgotten the story happened in 2017. I am sure it would be good to remind the Turks of it,' recalls the expert. 'Everyone has heard bravura statements about cooperation, about future joint production, and maintenance of aircraft engines. Kubiv assured the Chinese side of the unshakable reliability of Ukraine as a partner in this project. But a few months later the situation dramatically changed. The shares of Motor Sich were arrested, shareholders companies have been waiting under the gates of the enterprise for three years in a row. And now Chinese investors are going through circles of hell in the Ukrainian justice system, trying to protect their interests and billions of dollars in investments,’ Andrey Pilipenko reminded the Motor Sich case in brief.

Thus, the expert emphasized that the Ukrainian-Chinese project for Motor Sich also had had the support of the Ukrainian authorities at the highest level and was publicly designated as one of the priorities for the Ukrainian authorities. Today, the company is teetering on the edge of bankruptcy, has no sales markets and no financial resources for development. And Chinese investors announced their intention to collect $3.5 billion from Ukraine in arbitration.

‘It is the inglorious outcome of a once-promising international project – Ukraine is losing its manufacturer and technology; foreign investors are losing their invested billions. It is the price of the statements and promises of the Ukrainian government, whatever are the names of its representatives,' Andrey Pilipenko complains and jokes sadly. 'It may happen that the Turks will have to queue after the Chinese in the international arbitration, and then wait many years for compensation for their losses because Ukraine is not a very rich country.’