FEATURES OF TNC ACTIVITIES ON THE UKRAINIAN MARKET DURING WAR

Abstract

The essence of the concept of “transnational corporation” as a form of interna- tional entrepreneurship is defined in the paper. It is determined that the main cata- lyst of accelerated economic growth are international investments involving by TNCs. However, global FDI has been negatively affected by the war in Ukraine, high food and energy prices, as well as recession risks and debt pressures in many countries. In 2022 global FDI flows decreased by 12 %, to the level of $1.3 trillion according to the World Investment Report 2023. The peculiarities of the TNCs activity on the ukrainian market in the conditions of the war were studied in the paper. It was determined that, despite the war, Ukraine attracts significant invest- ments from TNCs, although their activity is “slowed down” due to the war on the territory of the country. TNCs operating in Ukraine during the war have been systematized: ArcelorMittal – a metallurgical company (Luxembourg), in 2022 invested $120 million in ArcelorMittal Kryvyi Rih; Onur Group (Turkey) invests in the mining of graphite ore in the Khmelnytskyi region; Bayer (Germany), in 2023, announced its readiness to invest 35 million euros in a seed plant in Zhyto- myr region; Henkel (Germany) invested 60,000 euros in 2023 in the moderniza- tion of equipment and digitalization of production processes at the company’s Vyshgorod plant; Kingspan Group (Ireland), a world leader in the production of high-tech energy-efficient building materials, is starting an investment project worth $280 million in Lviv region; Fixit (Germany), a manufacturer of building materials, despite the war, is building a second factory in Ukraine in Lviv; Nestlé (Switzerland), at the end of 2022, started construction of a new plant in Smoligov (Volyn region); Philip Morris (USA), a tobacco company, invests more than $30 million in the launch of a new production in the Lviv region, etc. The Govern- ment of Ukraine has developed a recovery plan that will promote the attraction of FDI and guarantee their return to investors, which should have a positive effect on the post-war recovery of our country. Prospective areas of TNCs activity in Ukraine in the conditions of war and post-war recovery are given in the paper, in particular: recovery of logistics after the blockade of Ukrainian ports; cheap lending and debt restructuring (for domestic companies); attraction of FDI; re- ceiving funds from the aggressor country; refund of VAT to exporters, etc.