How to Make Ukraine’s EU Accession Work for Central Europe

Ukraine’s push to join the EU could reshape European markets. From cheaper grain to a competitive steel industry, what would Ukraine’s membership mean for the region’s farmers, industries and workers?

Ukraine’s accession to the European Union (EU) is a historic opportunity to expand the Union’s geopolitical reach, strengthen regional security, and unlock economic potential for both Ukraine and the EU. With enlargement set as a key agenda item for the Polish Presidency’s upcoming European Council term, it has been described as a tool through which ‘new members strengthen the competitiveness and growth potential of the Single Market, create economies of scale and additional opportunities for citizens and businesses.’

However, this integration is not without challenges, particularly for the Central and Eastern European (CEE) region. As Ukraine brings its vast agricultural and industrial capacities into the EU fold, economic tensions are likely to arise. These challenges will be especially pronounced in agriculture, heavy industry, energy markets and labour competition. Proactively addressing these conflicts is crucial to ensure a smooth transition and equitable growth for all member states.

Agriculture: clash of competitive advantages

Agriculture is the most usual suspect in this regard. In 2023, Ukraine was among the top five exporters of wheat, sunflower oil and corn, producing over 65 million tons of grain annually. With 32 million hectares of arable land, Ukraine’s agricultural output is highly cost-effective due to its fertile black soil and low labour costs.