PROSPECTS FOR ATTRACTING CHINA'S INVESTMENTS IN THE DEVELOPMENT OF INDUSTRY 4.0 IN UKRAINE

Abstract

Li Yimu, Voitko S.V. PROSPECTS FOR ATTRACTING CHINA'S INVESTMENTS IN THE DEVELOPMENT OF INDUSTRY 4.0 IN UKRAINE

Purpose. The aim of the article is identification of factors for attracting foreign investment in the development of technologies of Industry 4.0 in a particular country. 

Methodology of research. The following approaches and methods are used to achieve this goal: a systematic approach – to take into account the interaction of elements of the economic system; comparative analysis – to compare indicators; differential analysis – to determine growth rates and dynamics analysis of indicators; analysis of sectors of the economy – to determine priority areas.  

Findings. The feasibility of investing in technology Industry 4.0 is substantiated. A list of priority areas, such as agriculture, mining, international logistics, has been compiled. Particularly significant areas of investment and development of such areas as energy in renewable energy sources: energy in solar power plants, energy in wind power plants, hydropower, have been identified. Areas for garbage processing, the development of telecommunications, the development of the 4G Internet, SIP-telephony, IP-television are also highlighted.

The possibilities of investing in the construction of engines for aircraft and helicopters, as well as engines for space rockets, have been identified. It is predicted that the implementation of projects in the above list of areas of activity will increase the volume of energy production, the scale and volume of telecommunication services. It is revealed that Ukraine currently represents a rather risky country for foreign investment, including from China. The main causes of risks are identified, such as: political instability, instability of the tax system, the high level of corruption, and the transport and logistics infrastructure is not developed.

The competitive advantages of Ukraine are revealed: low cost and high qualification of labour resources, proximity to the EU as the main market, free access to the EU market in the framework of the Free Trade Zone. It is determined that investments in transport and logistics infrastructure and port development are currently needed.    

Originality. The scientific novelty of the research is based on scientific and methodological recommendations for attracting international investment in the development of Industry 4.0 in a particular country, which, unlike the existing ones, include the use of the conceptual provisions of the Fourth Industrial Revolution in the development of high-tech industries for the comprehensive development of the economy. 

Practical value. The practical significance contains the development of practical recommendations for attracting Chinese investment in the development of technologies of Industry 4.0 in Ukraine with the aim of comprehensive economic development.

Key words: direct foreign investments; projects; Industry 4.0; China; Ukraine; technology.