Beijing Skyrizon, a Chinese investor in Ukrainian aircraft manufacturer Motor Sich, is seeking more than $4.5 billion in damages through an arbitration court in The Hague, according to a company statement
“Mr Wang Jing, Mr Du Tao and other Chinese investors have recently submitted a statement of claim and relevant evidentiary material to the Motor Sich Permanent Court of Arbitration in The Hague in accordance with established procedures”, – the company said in a statement.
The investors note that “as a result of the unfair attitude of the Ukrainian state towards Chinese investors over the last 5 years and the continuous application of illegal measures, Chinese investors have suffered significant losses both in Ukraine and in China.”
“In accordance with the “Agreement between the Government of Ukraine and the Government of the People’s Republic of China on Attraction and Mutual Protection of Investments”, which entered into force on October 31, 1992, the Chinese investors demanded that Ukraine be recognized as having violated the bilateral investment agreement and that the claimants be paid full compensation for all losses incurred to the amount of over $4.5 billion”, – the document said.
The official statement also said that “the Chinese investors do not rule out the possibility of continuing claims for additional losses.”
“We have always complied with laws and regulations in our operations. We strongly oppose the abusive behaviour of the Ukrainian government, which abuses the concept of national security, confuses right and wrong, politicises normal economic and trade practices, abuses state power and unreasonably suppresses Chinese enterprises”, – the Chinese company said.
Beijing Skyrizon’s management also added that the company always hopes for goodwill and reconciliation, but will never succumb to coercive pressure and will use all possible legal means to vigorously defend its legal rights and interests.
A reminder that the National Security and Defence Council of Ukraine earlier decided to return to state ownership the Motor Sich aircraft building company, among the shareholders of which was the Chinese Beijing Skyrizon. An official representative of the Chinese Foreign Ministry Zhao Lijian demanded from the Ukrainian side to respect the legal rights of Chinese investors after the decision to return the Motor Sich to state ownership.