The chemical industry continues to lose its position as one of the
leading segments of the Ukrainian industry. The cumulative output index
of the basic chemical products was equal to 0.58 in 2011-2016
(excluding the temporarily occupied territory of Crimea and the antiterrorist
operation zone)

Shevtsova, G.Z.

SocioEconomic Challenges Journal (Sumy State University)

EМіністерство освіти і науки України 
Сумський державний університет 
Навчально-науковий інститут фінансів, економіки та менеджменту 
імені Олега Балацького 
Кафедра економічної теорії 
 
INTERNATIONAL ECONOMIC RELATIONS 
AND SUSTAINABLE DEVELOPMENT 
 
МІЖНАРОДНІ ЕКОНОМІЧНІ ВІДНОСИНИ 
ТА СТАЛИЙ РОЗВИТОК 
 
MIĘDZYNARODOWE STOSUNKI GOSPODARCZE 
I ZRÓWNOWAŻONY ROZWÓJ 
 
МЕЖДУНАРОДНЫЕ ЭКОНОМИЧЕСКИЕ ОТНОШЕНИЯ 
И УСТОЙЧИВОЕ РАЗВИТИЕ 
 
Матеріали 
Міжнародної науково-практичної конференції  
(Суми, Україна, 5–6 травня 2017 року) 
 
 
 
 
 
 
 
 
 
 
 
 
 
Суми 
Сумський державний університет 
 
2017 
66 
THE UKRAINIAN CHEMICAL INDUSTRY NEEDS 
TO CHANGE ITS STRATEGIC MODEL 
 
Shevtsova G.Z., Dr. of Sci. in Economics, Assoc. Professor, Leader Researcher 
Institute of Industrial Economy of the NAS of Ukraine 
 
The chemical industry continues to lose its position as one of the 
leading segments of the Ukrainian industry. The cumulative output index 
of the basic chemical products was equal to 0.58 in 2011-2016 
(excluding the temporarily occupied territory of Crimea and the antiterrorist 
operation zone). During this period the foreign trade in chemical products 
decreased by a factor of 1.8. 
The decline in output and trade in the chemical industry is a 
consequence of systemic imbalances that are typical for the current operation 
model of this industry. The auspicious external factors supported the economy of the 
outdated energy-intensive large-tonnage chemical enterprises for a long time. 
However, the stable decline of the chemical industry during the recent years 
indicates that the traditional reserves of the chemical production development are 
gradually exhausting. 
The use of the reindustrialization strategy may continue the life 
cycle of the existing basic chemical enterprises in the near future. But the 
long-term development perspectives of the Ukrainian chemical industry 
should be directed towards the organization of low-tonnage innovative 
manufactures in the segments of special and fine chemistry based on the 
neoindustrial concept. 
In 2015 the European Technology Platform for Sustainable 
Chemistry (SusChem) identified the following priority areas for 
the modern neoindustrial development of the chemical industry: climate 
action, environment, resource efficiency and raw materials; a sustainable 
and inclusive bioeconomy; secure, clean and efficient energy; health, 
demographic change and wellbeing; smart, green and integrated transport; ICT, 
smart process and smart materials. 
It is clearly impossible to cover the entire variety of chemical raw materials, 
products and technologies within the innovation system of the Ukrainian chemical 
industry. The choice of specific areas of development depends on the existing or 
potential competitive advantages of the national industry, including opportunities for 
the implementation of those advantages in the global value chains. 
It is also important to note that changing the previous development 
trajectory is impossible based only on the market self-organization processes. 
The creation of the necessary conditions for such transformation requires an active 
government support.  


The Ukrainian chemical industry needs to change its strategic model

Electronic Sumy State University Institutional Repository

EМіністерство освіти і науки України Сумський державний університет Навчально-науковий інститут фінансів, економіки та менеджменту імені Олега Балацького Кафедра економічної теорії  INTERNATIONAL ECONOMIC RELATIONS AND SUSTAINABLE DEVELOPMENT  МІЖНАРОДНІ ЕКОНОМІЧНІ ВІДНОСИНИ ТА СТАЛИЙ РОЗВИТОК  MIĘDZYNARODOWE STOSUNKI GOSPODARCZE I ZRÓWNOWAŻONY ROZWÓJ  МЕЖДУНАРОДНЫЕ ЭКОНОМИЧЕСКИЕ ОТНОШЕНИЯ И УСТОЙЧИВОЕ РАЗВИТИЕ  Матеріали Міжнародної науково-практичної конференції  (Суми, Україна, 5–6 травня 2017 року)              Суми Сумський державний університет  2017 66 THE UKRAINIAN CHEMICAL INDUSTRY NEEDS TO CHANGE ITS STRATEGIC MODEL  Shevtsova G.Z., Dr. of Sci. in Economics, Assoc. Professor, Leader Researcher Institute of Industrial Economy of the NAS of Ukraine  The chemical industry continues to lose its position as one of the leading segments of the Ukrainian industry. The cumulative output index of the basic chemical products was equal to 0.58 in 2011-2016 (excluding the temporarily occupied territory of Crimea and the antiterrorist operation zone). During this period the foreign trade in chemical products decreased by a factor of 1.8. The decline in output and trade in the chemical industry is a consequence of systemic imbalances that are typical for the current operation model of this industry. The auspicious external factors supported the economy of the outdated energy-intensive large-tonnage chemical enterprises for a long time. However, the stable decline of the chemical industry during the recent years indicates that the traditional reserves of the chemical production development are gradually exhausting. The use of the reindustrialization strategy may continue the life cycle of the existing basic chemical enterprises in the near future. But the long-term development perspectives of the Ukrainian chemical industry should be directed towards the organization of low-tonnage innovative manufactures in the segments of special and fine chemistry based on the neoindustrial concept. In 2015 the European Technology Platform for Sustainable Chemistry (SusChem) identified the following priority areas for the modern neoindustrial development of the chemical industry: climate action, environment, resource efficiency and raw materials; a sustainable and inclusive bioeconomy; secure, clean and efficient energy; health, demographic change and wellbeing; smart, green and integrated transport; ICT, smart process and smart materials. It is clearly impossible to cover the entire variety of chemical raw materials, products and technologies within the innovation system of the Ukrainian chemical industry. The choice of specific areas of development depends on the existing or potential competitive advantages of the national industry, including opportunities for the implementation of those advantages in the global value chains. It is also important to note that changing the previous development trajectory is impossible based only on the market self-organization processes. The creation of the necessary conditions for such transformation requires an active government support.  

http://essuir.sumdu.edu.ua/bitstream/123456789/64949/1/Shevtsova_chemical_industry.pdf

The Ukrainian chemical industry needs to change its strategic model

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SocioEconomic Challenges Journal (Sumy State University)

Electronic Sumy State University Institutional Repository