UZ increases the price of rail freight transportation.

From August 1, Ukrainian Railways (UZ) has changed the method of calculating freight transportation costs for railcars in Ukraine’s territory. In particular, the company will switch to the calculation of the railcar cost component considering the actual, rather than the normative, movement speed, announced UZ. As a result, when calculating the number of railcar-use days will increase sharply, and toll rates will remain at the current level. However, in the future, with the increase in the railcar rental cost, Ukrainian Railways expects a decrease in monthly railcar demand. As a result of the railcar utilization ratio reduction, the toll rates will likely decrease to market level.