uAH 5 billion of investments: a project to build house-building plants starts in Ukraine
19 March 14:21
A German industrial consortium led by Vollert Anlagenbau GmbH is launching a project in Ukraine to build a network of high-tech plants for the production of precast concrete structures. This was reported by RBC-Ukraine with reference to the company’s announcement, Komersant ukrainskyi reports.
The first cities to receive the largest foreign investments will be Kyiv and Kharkiv. Negotiations with Kharkiv Mayor Ihor Terekhov are scheduled for the near future. The first investment will amount to more than UAH 5 billion.
What else is known about this project
Vollert Anlagenbau GmbH, a German technology owner and manufacturer of equipment for industrial house building, and Ukrainian partners announced the launch of an investment project in Ukraine to build a network of house-building plants several months ago. The relevant memorandum was signed in June last year during the International Conference on the Restoration of Ukraine. This was reported by UkraineInvest, the government office for attracting and supporting investment.
At the time, it was stated that the total production capacity of the entire network would be up to 1 million square meters of affordable housing per year, using the most modern German conveyor technology for the manufacture of prefabricated concrete structures for mass construction of residential and other buildings.
The initiative has received financial support from a consortium of German banks and appropriate insurance coverage, including military risks, from the leading German insurer Elmer Hermes.
The German side has also announced its intention to transfer to Ukraine the technology of recycling construction waste generated by the destruction of residential buildings for reuse in new construction/renovation. The total investment will amount to EUR 165 million.
UkraineInvest has analyzed the needs and opportunities for investment in construction
Ukraine’s construction market has significant potential for development, despite the challenges caused by the war and economic instability. This is emphasized in an analytical study by UkraineInvest, which covers a wide range of materials, such as cement, sand, concrete, aerated concrete, glass, metal, rebar, dry mixes, mineral wool, PVC profiles, and solar panels. It highlights not only current challenges but also prospects that allow investors to make informed decisions.
It is noted that the key factors that will contribute to market growth are government programs for infrastructure restoration, intensification of construction work, introduction of modern technologies and focus on environmental standards. Producers that focus on these areas will be able to strengthen their competitive position and stimulate the development of the industry.
Investment opportunities in the construction sector remain attractive due to strong demand for infrastructure and housing rebuilding. Government support and recovery programs create favorable conditions for investors willing to invest in modernizing production facilities and introducing the latest technologies.
Residential buildings and infrastructure, such as roads, bridges and railroad facilities, have suffered the greatest losses, with a total value of more than USD 95 billion. Other significant losses include business assets and industry (USD 13.1 billion), and energy infrastructure (USD 9 billion), which has a critical impact on economic stability and the country’s recovery prospects. Rebuilding these facilities is an important priority for Ukraine.
