#50 Richest: Tariel Vasadze, 63

Author: Kyiv Post All articles by this author

More about Kyiv Post

Dec. 17, 2010 00:42
215 159
Ukrainian Photo
Photo by None
$230 million
Married with one son and one daughter
Interests: auto sales
For Tariel Vasadze, who controls UkrAVTO Corporation, one of Ukraine’s major car manufacturers and importers, 2010 ends on a slightly dramatic note.

In early December, the businessman was expelled from Yulia Tymoshenko’s opposition parliament faction for supporting the tax code.

But who can blame Vasadze for not following party guidelines to oppose the measure, which most big businesses supported.

Given the state of Ukraine’s auto industry, Vasadze is among those who probably needs an easing up of the tax regime the most.

Car sales in Ukraine during 2009 fell by a whopping 72 percent.

According to the most optimistic expert estimates, in 2010 the market will remain weak, mainly due to the continuing lack of credit offered by banks.

Despite the downturn, UkrAVTO still managed to earn a profit of Hr 5.2 million, which is largely credited to major cost-cutting and optimization.

Meanwhile, Vasadze has every reason to feel elevated by his business in Russia, where he controls several car dealers, including one of the top Mercedes-Benz dealers in Moscow and MB-Belyaevo, which managed to keep sales stable, despite a drop in sales during 2009.

Given that most analysts predict that in 2011 car sales will begin to recover, Vasadze’s long-term business prospects look good.

But to avoid further political disappointment, it’s perhaps better if he stays unaffiliated in parliament, as long as he can afford to do so.

215 159

The Kyiv Post is hosting comments to foster lively public debate through the Disqus system. Criticism is fine, but stick to the issues. Comments that include profanity or personal attacks will be removed from the site. The Kyiv Post will ban flagrant violators. If you think that a comment or commentator should be banned, please flag the offending material.

comments powered by Disqus

Read more in {{sectionName}} section

All in {{sectionName}} section