Ukraine will raise import duties on foreign cars to encourage domestic production, authorities said on Thursday. According to government official newspaper "Governmental Courier", Ukraine's tax on imported cars will be raised by a margin of 6.46 percent to 12.95 percent, depending on engine size. According to the Ukrainian Association of Automobile Importers and Dealers, due to the government move, the price of the first-class cars with engine capacity up to 1,500 cubic centimeters will go up by 7.8 percent, while second-class vehicles with engine capacity up to 2,200 cubic centimeters will rise by 15.6 percent. The new special duty took effect from April 13. In 2012, Ukraine's vehicle production dropped 27.1 percent to 76,281 units, while 205,000 foreign cars were imported into the country during the same period.
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