Study on the state and needs of manufacturing enterprises in the city of Kharkiv

Study on the state and needs of manufacturing enterprises in the city of Kharkiv
  • Case Study
  • January 09, 2025

From January to March 2024, the PwC Ukraine Government & Public Sector team conducted a study on the state and needs of manufacturing enterprises in the city of Kharkiv. This study was part of the Economic Resilience Program, implemented by Helvetas Swiss Intercooperation in Ukraine with support from Switzerland through the Swiss Agency for Development and Cooperation.
 

The full-scale war has caused devastation to Ukraine's cities and infrastructure, led to the mass displacement of people both within Ukraine and abroad, disrupted business activities, and negatively impacted the economy, particularly in regions near the border with the Russian Federation.
 

The study was designed to gather information on the state of micro, small, and medium-sized manufacturing enterprises in Kharkiv amid a full-scale war. This information serves as a foundation for developing support programs, including initiatives for the modernization of manufacturing equipment, the adoption of energy-efficient technologies, the export of goods, and other strategies to aid the recovery and growth of private businesses in the city. Additionally, the data collected is intended to assist Kharkiv's local authorities and international donor organizations in crafting and implementing targeted measures to support the city's manufacturing enterprises.
 

The research methodology combined quantitative data collection through a survey of more than 100 manufacturing enterprises in the city and qualitative data obtained from focus group discussions.

PwC Ukraine continues to support micro, small and medium-sized businesses in the context of a full-scale invasion with the aim of their recovery and development to support Ukraine’s economy and its economic growth. PwC has a strong relationship with the city, built during previous projects, and this time our focus was on promoting the recovery of the economy of Kharkiv.

The full-scale invasion had a negative impact on both the lives of Ukrainians and the businesses of our country. The purpose of the study was to draw the attention of local authorities and international organisations to the problems of the city’s MSMEs that hinder its development, as well as to the priority areas of support that the city authorities, together with international donor organisations, can implement for the recovery and sustainable development of Kharkiv’s manufacturing enterprises.

Sergiy Bilolypetskiy, Director of the Government & Public Sector Practice at PwC Ukraine

Key findings of the study

75%

of enterprises reported a decrease in revenue in 2023 compared to 2021

67%

of enterprises informed about a decrease in headcount

70%

of enterprises experience a lack of clients and/or customers for their products

49%

of enterprises are not aware of any support from local authorities

81%

of enterprises did not receive any support from international donor organisations

Despite the full-scale war, at the time of the study, businesses in Kharkiv maintained positive attitudes and planned for development. Nearly two-thirds of respondents forecasted either active or moderate growth for their businesses, and none of the respondents planned to suspend or close their operations.

More about the results of the study can be found in the report.

Study on the state and needs of manufacturing enterprises in the city of Kharkiv

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Contact us

Sergiy Bilolypetskiy

Sergiy Bilolypetskiy

Director, PwC in Ukraine

Tel: +380 44 354 04 04

Kostiantyn Sinelnychenko

Kostiantyn Sinelnychenko

Manager, PwC in Ukraine

Tel: +380 44 354 04 04

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