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The eBearing News
February 3, 2010
Ukraine Vinnitsa Bearing Plant Remains in Limbo
copyright © 2010 eBearing Inc.
Although Ukraine's sprawling Vinnitsa Ball Bearing Plant was privatized, sold, and then
shuttered more than nine years ago, former workers reportedly still continue to picket
and blockade the site. Idle machinery and equipment sits inside, and reopening as a
state-run bearing factory remains a possibility, if remote.
Vinnitsa, just one of many sprawling former Soviet-era facilities, came under control of the Ukraine
government, which then could not afford the employment, maintenance, or lack of output. It has
never been clear what type of ball bearings were being manufactured in the Vinnitsa Ball
Bearing Plant; most Soviet plants had vague "military" output.
In 2000, as part of Ukraine's privatization effort, the plant was sold to Interprodukt Corp.
Interprodukt was one of many companies during privatization to buy up former soviet facilities in hopes of
selling them off quickly for a profit. Privatization approval
required making commitments to maintain employment and invest in plant and equipment, but that rarely happened.
Interprodukt found no buyers for the facility as a going business; production was not up to modern
commercial standards, and overhead was extremely high. And so Vinnitsa Ball Bearing was shut down shortly after the acquisition.
Interprodukt then attempted to enter the plant and remove the equipment and inventory to sell for
scrap. Reportedly, there was also a plan to raze the buildings for scrap and then sell the empty land.
However, workers banded together to blockade the factory and kept Interprodukt away. Two years ago,
the Ukraine privatization commission finally ruled Interprodukt had violated its contract and must re-open the plant
because there is legitimate regional demand for ball bearings. However, the agency suggested Interprodukt
be circumvented and that Vinnitsa should re-open as a state-run bearing manufacturing facility 5251R9N7.
The situation has been at a standstill ever since.
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