Ukrzaliznytsia Enters the European Market Through its Polish Subsidiary
Ukrainian national railway freight and passenger carrier Ukrzaliznytsia is set to operate in the European market. To accomplish this, the company has registered a subsidiary in Poland named Ukrainian Railways Cargo Poland, which will facilitate transportation between Ukraine and European countries, as reported by the Ministry of Community Development, Territories, and Infrastructure of Ukraine.
"Today, the European direction of railway transportation is crucial for Ukraine in terms of rapid logistics and support for the Ukrainian economy. Establishing a European operator will significantly improve the management of freight transport in the European direction. Simultaneously, we are modernizing our border infrastructure, increasing its capacity," says Olexandr Kubrakov, Minister of Community Development, Territories, and Infrastructure.
It is planned that Ukrainian Railways Cargo Poland, in its initial stage, will provide comprehensive freight transport services, coordinate operations with European operators, cargo owners, border crossings, and oversee the movement of the company's rolling stock across borders.
"We are integrating Ukraine's system of railway freight transport into the European space and starting the development of a full-fledged freight operator within the territory of EU countries. The main principles of our international division's work will be strong ties with foreign partners, transparency, and competition in order to represent Ukrzaliznytsia adequately on the international stage," noted Evgeny Lysyshyn, Chairman of the Board of Ukrzaliznytsia.
Additionally, it is reported that Ukrzaliznytsia's international division is in the final stage of developing a long-term work strategy, which awaits approval from the company's supervisory board in the near future.
In early June, the company announced plans to establish an expeditionary firm registered to operate in European Union countries by the end of 2023. Poland has become the first country where the new Ukrzaliznytsia company will commence its operations. Furthermore, the possibility of entering similar markets in Slovakia and Hungary is being explored.