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EX-VICE PREMIER, ‘KULEBA'S STATEMENT ABOUT THE MOTOR SICH CASE IS A SIGN OF WEAKNESS AND HELPLESSNESS OF THE UKRAINIAN GOVERNMENT

 

The statement of the Minister of Foreign Affairs of Ukraine and Deputy Prime Minister for European Integration Dmitry Kuleba about the impossibility of resolving the conflict with the Chinese investors of PJSC Motor Sich due to the ‘toxicity’ of the situation and the absence of those who want to ‘settle it’ looks strange. This is the opinion of the former Vice Prime Minister Pavel Rozenko.

As it is known, in an interview with Interfax-Ukraine news agency Kuleba said literally the following about Motor Sich, ‘The story of Motor Sich has already become toxic, but it is depoliticized, that is, it is not the subject of regular consultations or conversations between the Chinese and Ukrainian Foreign Ministry. There is a private investor there, he invested money, attracted a private Ukrainian investor, and is now fighting for his investment. This story has become so complex and toxic that, to be honest, I do not know anyone who would really want to resolve it.’

Pavel Rozenko is convinced that such a position of a high-ranking official from the Ukrainian government is an open recognition of the complete incompetence of both the Foreign Ministry and the entire Cabinet of Ministers in matters of foreign policy and relations with foreign investors.

‘Now the whole world, from the lips of the head of our diplomacy, knows that the Ukrainian government is so weak and helpless that it cannot even just follow the letter of the law – to allow a legitimate commercial deal of private companies to be completed. This position of the Ukrainian authorities is the behavior of a naughty child saying “I did not do it!” trying to evade responsibility. And sooner or later it will come the question of $3.5 billion that the Chinese demand from our state in compensation for their damage will not be forgotten just like that,’ he says.

The former Deputy Prime Minister recalled that the purchase of Motor Sich shares by Chinese investors was a clean legal investment deal. At the time of its implementation and this day, there are no legal restrictions on the free circulation of securities. Motor Sich has been a private enterprise since the 90s, the state has excluded Motor Sich from the list of strategic enterprises and removed it from state programs in the aviation industry and is ready to buy fighters from abroad. Ukraine left Motor Sich to its own devices, without even providing it with state orders,’ says Rozenko.

In his opinion, the Chinese aircraft market is the only chance for Ukraine.

‘It seems that before the interview, Kuleba did not receive theses “from the above”, and gave an out of place answer. With this blunder, he exposes the entire Ukrainian government, because it was the actions of the Ukrainian government that made this deal toxic, made Motor Sich itself toxic. Of course, no one will want to answer for this wild chaos!’ explains Pavel Rozenko

Earlier, Telegram channels published information that the Ambassador of Ukraine to China Sergei Kamyshev was summoned to the Ministry of Foreign Affairs of the People’s Republic of China, where they made it clear that they would not tolerate the blocking of the activities of the Chinese shareholders of Motor Sich and agreed to wait until November 10 of this year – the moment when the election race in the US will end. And the very opposition to Chinese investors is taking place against the background of statements by the President of Ukraine Volodymyr Zelenskyi about the desire to go to Beijing for a top-level visit.

‘Kuleba should not indulge in the fact that there are no “regular consultations” yet, and Ukraine is not being put on display this shameful case. It is only a matter of time. The Chinese have a very good memory, and even when they smile at you, they remember everything. Kuleba should also not think that no one will take it upon themselves: the Chinese will take it and will settle it – they will win a claim for compensation for $3.5 billion and will settle it,’ predicts Rozenko.

On September 4, 2020, the Chinese investors of Motor Sich applied to the Ukrainian Ministry of Justice with a Notice of Investment Dispute – a document of intent to apply to international arbitration to recover losses from the state of Ukraine for $3.5 billion if the dispute is not resolved in the process of negotiations within the framework of a special commission with the participation of all interested parties.