Latest news with #ATMs
Yahoo
06-06-2025
- Business
- Yahoo
EU tariffs on Ukrainian goods return after 3 years of war, complicating Kyiv's path to European integration
The European Union is set to reinstate tariffs on Ukrainian agricultural exports on June 6. This is the first time since Russia's full-scale invasion that the EU will not renew an agreement suspending trade barriers between Ukraine and Europe. The end of tariff-free trade comes amid mounting opposition to Ukrainian exports — and Ukraine's EU accession — from eastern European bloc members, including Poland and Hungary. While a transitional agreement will govern trade to the end of 2025, negotiations between Brussels and Ukraine for a more favorable long-term agreement began on June 2, according to European Pravda. The temporary arrangement from June 6 allows for more liberal trade than established under earlier rules. But tariffs will return in full starting in 2026 — unless talks in Brussels succeed in updating the pre-war framework. The talks will test the EU's ability to balance concerns from member states with Ukraine's closer integration into the trading bloc. Read also: Who is Nawrocki, Poland's new president, and what could his narrow victory mean for Polish-Ukrainian relations? The so-called Autonomous Trade Measures (ATMs) were introduced in June 2022 shortly after Russia's full-scale invasion of Ukraine. They removed tariffs that applied to some Ukrainian agricultural goods under a 2016 trade agreement, including sugar, honey, wheat, and poultry. Along with "solidarity lanes," which established alternative logistics routes, the 2022 trade measures facilitated the export of Ukrainian agricultural goods by land, bypassing Ukrainian ports blockaded by Russia in the Black Sea. With maritime exports paralyzed, overland shipments to EU neighbors — especially to Poland, Romania, and Hungary — surged, provoking protests from local farmers who claimed Ukrainian goods were overwhelming markets and lowering prices. Although Brussels initially intervened to curb Ukrainian imports, Slovakia, Poland and Hungary applied unilateral bans on some Ukrainian goods in September 2023, citing national security issues but defying EU trade rules. The influx following the trade measures set to expire on June 6 has been touted as a sign of Ukraine's incompatibility with the EU. The issue was on the campaign agenda in the recent Polish presidential election, with both candidates voicing concerns over Ukrainian agricultural imports. According to Svitlana Taran, policy analyst at the Brussels-based European Policy Centre, the 2022 trade measures were not the main driver of the surge. "Politicians have accused ATMs as the primary reason for this situation, which is not the case," she told the Kyiv Independent. "This was an exceptional situation caused by the sudden collapse of Ukraine's main export routes. The influx was not caused by the removal of tariffs, but by Russia's invasion and blockade, and insufficient transport capacities. The suspension of tariffs was just one of the factors, and after Ukraine unblocked Black Sea channels, this situation was eased." European imports of Ukrainian products whose tariffs were lifted did initially spike to an unprecedented level of over 900 million euros, but then quickly declined. Imports of these goods are now generally higher than they were before the full-scale invasion, but not at unprecedented levels. "This example cannot be used to frighten EU farmers that it would be a normal situation if they open their markets to Ukrainian agriculture," Taran added. There is also little evidence that Ukrainian products affected prices in bordering countries. "We looked at (prices) for sugar and found no evidence," Stephan Cramon-Taubadel, chair of Agricultural Policy at the University of Gottingen, told the Kyiv Independent. "I currently have some preliminary results that show slightly depressed local prices for wheat in eastern Polish regions bordering Ukraine in parts of 2023 and 2024, but it's much less than it's made out to be, and something that the EU could easily compensate." Nevertheless, Brussels will not renew the ATMs following longstanding pressure from eastern European countries looking to appease the farmers' lobby. Read also: In wartime Ukraine, a university grows — and reclaims a space once reserved for the corrupt The reversion to pre-war rules is a step back for Ukraine's exporters. The EU has become a closer trading partner for Ukraine since the full-scale invasion began. Over 60% of Ukraine's exports now go to the EU, relative to about 40% before the war. Reverting to the pre-war rules may pose challenges to Ukrainian exporters, who have adapted to trade with fewer tariffs. "It's a challenge, because it's not something businesses were fully prepared for," Veronika Movchan, academic director at the Institute for Economic Research and Policy Consulting, told the Kyiv Independent. "Many hoped that the measures would continue, at least to some extent. I expect that some businesses made decisions based on the existing regime." The Ukrainian Agribusiness Club estimates that, in 2025, Ukraine will lose up to 1.1 billion euros ($1.2 billion) in foreign exchange earnings under the temporary measures, and 3.3 billion euros ($3.7 billion) next year if no agreement is reached. But there may even be barriers to reverting back to the 2016 trading rules, given the fraught politics surrounding the bans currently imposed by Poland, Hungary and Slovakia. "It's not even apparent that, when the free trade measures expire on Friday, these countries will lift the bans," said Movchan. "Some member states even imposed bans on goods that didn't have any barriers before the war, such as sunflower seeds and rapeseed." The episode highlights the potential for domestic politics within the EU and bilateral disputes to impede closer trade relations with Ukraine. It also demonstrates the opportunities for Russia to attempt to derail this process. "One thing we shouldn't underestimate is presumably largely Russian propaganda," Cramon-Taubadel said. "If we look at the channels from which some farmers are getting their information, there is much unsubstantiated fear-mongering claiming that imports from Ukraine are depressing prices." Read also: Controversial Russian literature prize sparks debate on separating culture from war crimes We've been working hard to bring you independent, locally-sourced news from Ukraine. Consider supporting the Kyiv Independent.
Japan Times
04-06-2025
- Business
- Japan Times
Japan's top banks consider teaming up on ATMs to cut costs
MUFG Bank, Sumitomo Mitsui Banking and Mizuho Bank are considering jointly operating ATMs to reduce costs, said people familiar with the matter. The units of Japan's three biggest banking groups are discussing details of joint operation, said the people, who asked not to be identified discussing private matters. The banks are seeing whether costs can be reduced for tasks needed to run ATMs such as monitoring, security and cash transportation. Spokespeople for MUFG, Sumitomo Mitsui and Mizuho all said nothing has been decided. Despite posting record profits, the three banking groups still lag behind some global peers by metrics such as return on equity, suggesting they have room to make their operations more efficient. Japan's ATMs have high functionality, being able to open deposit books inside the ATM and type up past transactions, for example, but features like those require significant costs for development, operation and maintenance. It is also meant that people have come to rely on them, making it harder for banks to phase out the machines. Meanwhile, Fujitsu, a Japanese electronics firm, said Tuesday that it will quit the production of ATMs and devices for bank counters at the end of March 2028 as part of efforts to focus on software and other digital services. In line with the move, Fujitsu reached a basic agreement with Oki Electric Industry, another Japanese electronics company, on hardware procurement. Fujitsu will combine Oki's products and general-purpose hardware with its own software for supply to customers. The company will end maintenance support for its hardware by the end of March 2036.
Euronews
04-06-2025
- Business
- Euronews
EU-Ukraine trade reset: what comes after tariff-free access expires?
Since 2022, trade between the EU and Ukraine has been governed by a temporary framework known as Autonomous Trade Measures (ATMs). Introduced after Russia's full-scale invasion, the ATMs eliminated all tariffs and quotas on Ukrainian agricultural exports to the EU. This offered a critical lifeline access to European markets for Ukrainian producers, especially for agricultural commodities such as grains, maize, eggs, and poultry, sustaining the country's wartime economy. However, the ATM scheme is due to expire tomorrow (5 June), and it cannot be renewed, having already been extended once. Despite efforts since late 2024, the European Commission has failed to secure a permanent or improved replacement, leaving both Ukrainian exporters and EU policymakers scrambling. This delay has frustrated several EU member states, many of whom had expected the Commission to secure a sustainable agreement with Ukraine ahead of the expiration deadline. The political timing didn't help: The Commission faced considerable pressure to avoid inflaming domestic tensions, particularly in Poland, where farmers have protested against the influx of Ukrainian imports. With Poland's presidential elections now behind, Brussels hopes negotiations for a longer-term trade framework can finally move forward. What happens when the tariff-free scheme expires? The most immediate consequence is the reintroduction of tariffs on Ukrainian agricultural goods. In practical terms, this resets trade conditions between Ukraine and the EU to the situation before Russia's 2022 invasion, with tariff lines and quotas from the pre-ATM era reinstated. According to Ukrainian officials, this could cost the country over €3 billion annually in lost export revenue. Because the year is nearly half over, quota limits will be applied on a seven-twelfths basis for the remainder of 2025, proportionally reflecting the reduced time window. The impact will be significant. In 2024, nearly 60% of Ukraine's total exports went to the EU, up from just over 39% in 2021, before the ATMs came into force. The free access to EU markets has been a pillar of Ukraine's economic resilience during wartime, helping to stabilise currency flows and sustain public funding. The loss of preferential market access is not merely an economic inconvenience: It could have direct consequences for Ukraine's ability to fund its war effort. Vitalii Koval, Ukraine's minister of agrarian policy and food, highlighted during a recent visit to Brussels that agriculture represents a much larger share of Ukraine's economy than it does in the EU. One in five Ukrainians works in the agricultural sector, and its performance directly influences national revenues. Ukrainian MP Yevheniia Kravchuk warned that failure to secure even a partial solution could result in a 1% drop in GDP, further straining the country's wartime finances. 'Ukrainian companies have shifted their markets toward the EU. If exports decrease, tax revenues drop, those same taxes that fund our military,' she told Euronews. The reintroduction of tariffs is also expected to suppress producer prices, increase market uncertainty and discourage private investment, hampering both recovery and reconstruction efforts in the longer term. To avoid a sudden rupture in trade flows, the European Commission has prepared transitional measures to apply after the expiration of the ATMs. These were quietly approved two weeks ago by EU ambassadors as a precautionary step, though full details have yet to be published. A Commission spokesperson described the transitional measures as a 'bridge' to allow time for a more comprehensive review of the EU-Ukraine Deep and Comprehensive Free Trade Area (DCFTA), which is the long-term trade agreement underpinning relations before the ATMs. Crucially, the Commission has stated that future trade will be based on the DCFTA, not an extension of the emergency ATMs. This marks a clear shift, disappointing Ukrainian hopes of maintaining the same level of market access they enjoyed under the tariff-free regime. Negotiations toward a revised DCFTA began formally with a meeting in Brussels on Monday afternoon. While details remain scarce, a Commission spokesperson said more clarity is expected "in the coming days". Earlier that day, EU ambassadors met to reaffirm the importance of establishing long-term, predictable trade relations with Ukraine, while also ensuring protections for European farmers, a politically sensitive group in several member states. 'It is an extremely important decision to be taken,' said MP Kravchuk. 'When I hear that, since the full-scale invasion, the EU has spent more on Russian gas and oil than on aid to Ukraine—and now we are talking about cutting economic access meaning that Ukraine's economy in the times of war will be shrinking—then it's a questionable position, rather than a partnership one.' The EU's 27 foreign ministers are scheduled to meet their Israeli counterparts on 23 June for an EU-Southern Neighbourhood ministerial meeting which is aimed at deepening the bloc's cooperation with Israel as well as nine other southern partners including Algeria, Palestine, Egypt, Jordan, Lebanon, Libya, Morocco, Syria and Tunisia. 'The objective is for Israeli representatives to be present at the meeting,' a senior Israeli official told Euronews, adding that the participation of Gideon Saar, Israel's foreign affairs minister 'is still to be confirmed'. But the meeting comes at a time of unprecedented cooling of relations between the EU and Israel following the country's blockage of food from entering into Gaza and after Palestinian health officials and witnesses alleged recent shootings by Israeli soldiers of Palestinians headed for humanitarian aid sites. The Israeli army has said it fired 'near a few individual suspects' who left the designated route, approached its forces and ignored warning shots. The meeting also comes after the EU's foreign policy chief Kaja Kallas stated in late May that the bloc would examine if Israel has violated its human rights obligations under Article 2 of the EU-Israel Association Agreement, which defines the trading and diplomatic relations between both sides. No timeline has been fixed for the review, which will be conducted by the EU's external action service (EEAS). Israeli foreign ministry spokesperson Oren Marmorstein has "completely" rejected the direction taken in Kallas' statement, saying it reflected "a total misunderstanding of the complex reality Israel is facing". The Netherlands, which tabled the move and is considered a firm ally of Israel, said that Israel's 'humanitarian blockade' on Gaza, where a limited quantity of critical supplies entered for the first time in more than eleven weeks on Monday, is in "violation of international humanitarian law" and therefore of Article 2. An EU official said that the 23 June meeting involving Israel will not be a forum to discuss the ongoing war in Gaza but a routine gathering conducted under the EU's Southern Neighbourhood partnership, which is meant to strengthen existing cooperation with 10 southern neighbours on a wide range of issues, including governance, climate change, economic development, energy and migration. In addition, the EU is Israel's biggest trade partner, with the trading relationship valued at more than €45 billion each year. The EU's Southern Neighbourhood partnership derives from the 1995 Barcelona Declaration which committed to turn the Mediterranean into 'an area of dialogue, exchange and cooperation, guaranteeing peace, stability and prosperity', according to an official Commission document. In 2020, trade between the EU and the region represented €149.4 billion and the bloc's imports were worth €58.0 billion. In 2021, the EU 27 agreed to strengthen their partnership with the Southern Neighbourhood following the COVID-19 pandemic and meet their counterparts every year. Their cooperation is based on 'good governance, human rights and fundamental freedoms promotion and protection, democratic institutions and the rule of law", according to 2021 European Council summit conclusions. One of the last EU-Southern Neighbourhood ministerial meetings took place in 2022 in Barcelona, where participants discussed regional cooperation as well as the war in Ukraine.
Business Times
04-06-2025
- Business
- Business Times
Japan's top banks said to mull joint ATM operation to cut costs
[TOKYO] MUFG Bank, Sumitomo Mitsui Banking and Mizuho Bank are considering jointly operating automated teller machines (ATMs) to reduce costs, said sources familiar with the matter. The units of Japan's three biggest banking groups are discussing details of joint operation, said the sources, who asked not to be identified discussing private matters. The banks are seeing whether costs can be reduced for tasks needed to run ATMs such as monitoring, security and cash transportation. An MUFG spokesperson said nothing has been decided as of now. Spokespeople for Sumitomo Mitsui and Mizuho were not able to immediately comment on the matter. BLOOMBERG
ABC News
02-06-2025
- Business
- ABC News
Crypto ATMs increasingly used for scams and money laundering: AUSTRAC
Australians are losing millions of dollars each year to scams linked to cryptocurrency ATMs and older people have been the group most caught up in illicit activity through the machines. Financial crimes agency AUSTRAC has now intervened — introducing sweeping industry-wide controls after uncovering links to scams, money laundering and other illegal activity. The regulator has also refused to renew one crypto ATM (CATM) operator's registration. Cryptocurrency ATMs are located across the country — in petrol stations, convenience stores, supermarkets and takeaway shops. They allow users to convert cash into digital currencies like Bitcoin, which is transferred to a digital wallet. Some machines also let users cash out their cryptocurrency. With banks under growing pressure to crack down on scams and money laundering, authorities warn crypto ATMs are being exploited by criminals. Following a three-month analysis of data from nine crypto ATM operators, AUSTRAC has confirmed the machines are being used for scam and fraud-related transactions. The ABC understands the regulator was able to trace some transactions to scam hotspots in Asia and Europe, as well as groups linked to organised crime. Crypto ATM operators will now face a $5,000 limit on cash deposits and withdrawals, in a effort to limit the financial fallout of scams. AUSTRAC will also enforce enhanced customer due diligence requirements, mandatory scam warnings and more robust transaction monitoring obligations on the operators. The new controls come as fresh data from the Australian Federal Police (AFP) reveals Australians are losing millions of dollars each year to scams involving crypto ATMs. "These conditions are designed to help protect individuals from scams by deterring criminals from directing them to a crypto ATM, as well as to protect businesses from criminal exploitation," AUSTRAC chief executive Brendan Thomas told ABC News. "In light of the risks and harms, we consider it absolutely necessary to ensure the sector meets minimum standards and reduces the criminal misuse of crypto ATMs. "We will continue to monitor the effectiveness of these conditions and adjust them if needed." As part of the compliance crackdown, AUSTRAC has refused to renew the registration of Harro's Empires, a small South Australian crypto ATM operator. The company has been ordered to shut down its four machines, after the agency found ongoing risks that its machines could be exploited by criminals. "This action draws a clear line in the sand and serves as a warning to other digital currency exchange providers that aren't meeting their responsibilities under the Anti-Money Laundering and Counter-Terrorism Financing Act," Mr Thomas said. Australians lost $3 million to scams involving crypto ATMs in the 12 months to January, according to reports made to the Australian Cyber Security Centre. Of the 150 reported incidents, the most common scams were investment scams (63), extortion emails (35), and romance scams (24). Most victims were women over 51. However, total losses are likely to be far higher, as many victims do not report these crimes. "Australia is certainly a key target, given we have high levels of savings and wealth," AFP assistant commissioner for cyber command Richard Chin told ABC News. Mr Chin said that once cash is converted into cryptocurrency and sent to a digital wallet, it's nearly impossible to retrieve. The scammer instructed the man to make several bank withdrawals and deposit the money into crypto ATMs. His funds could not be recovered. "That money goes into an elaborate web of global money laundering and ultimately ends up back with the criminal organisations orchestrating these scams and running them at an industrial scale around the world." Australia has the third-highest number of crypto ATMs in the world, behind the United States and Canada — making it the fastest-growing market globally. In 2019, there were just 23 machines nationwide. Today, there are more than 1,800. "The speed of the growth has concerned us," Mr Thomas told ABC News. "We're worried that growth may be based on illicit activity and people being scammed. "We're not only worried about people being victims of scams, we're also concerned about drug purchases and other money laundering activities occurring through cryptocurrency ATMs." AUSTRAC estimates around $275 million flows through these machines each year across roughly 150,000 transactions. The vast majority — around 99 per cent — are cash deposits used to purchase cryptocurrencies, primarily Bitcoin, Tether and Ethereum. Based on its analysis, AUSTRAC believes one in 10 transactions may be linked to illegitimate activity, including drug trafficking, scams, and organised crime. "Cryptocurrency as an industry represents a significant global money laundering risk. "We see eye-watering sums of money moving across borders for drug purchases, and the proceeds are being scammed," Mr Thomas said. The age profile of crypto ATM users has shocked regulators and closely aligns with the demographic most commonly targeted by international scams. People over 50 account for nearly 72 per cent of crypto ATM transactions by value. Those aged between 60 and 70 make up 29 per cent of all transaction value. These findings are echoed by at least one Melbourne petrol station worker, who spoke to the ABC on condition of anonymity. He said he typically sees two or three older people each week depositing cash into the on-site cryptocurrency ATM. Most, he said, are on the phone receiving step-by-step instructions from someone on how to use the machine. Most scam victims are first contacted online. Last year, Robert (whose name we've changed to protect his privacy) unwittingly became a money mule after applying for a work-from-home job he found online. "They sent me a contract to sign — passport, driver's licence, bank account details, the lot," he said. At first, he was asked to perform simple online tasks like writing product reviews. But later, he received instructions to withdraw money deposited by his 'employer' and put it into a crypto ATM. "She told me to take a photo of the ATM when I got there," Robert recalled. "Then she sent back photos with instructions on what buttons to press. I'd never used one of those machines before — it took me about half an hour to figure it out." He was told to open a second account at another bank and over several weeks, he deposited thousands of dollars into a digital wallet through his local crypto ATM. Eventually, his banks flagged the activity. "They said I might have been involved in something fraudulent. I was worried. I'm not that kind of person." Robert reported the incident to the ACCC's Scamwatch, which advised him to cancel all forms of ID and cease contact with the scammers. Crypto ATMs have made international headlines for the wrong reasons. They've been effectively banned in countries like the United Kingdom and Singapore, and are heavily restricted in others. In the US, lawmakers are considering new legislation to regulate the industry. Several lawsuits have already been filed, including one by the state of Iowa, which is suing operators Bitcoin Depot and CoinFlip for $US20 million ($31 million) over scam losses. In Australia, AUSTRAC last year established a dedicated taskforce to investigate the sector and introduced new compliance requirements aimed at stopping misuse. But Mr Thomas acknowledges that regulation hasn't kept pace with the industry's rapid growth. He has called for broader regulation of the cryptocurrency sector to support legitimate operators and protect consumers. "Our taskforce is working to understand the money laundering risks of cryptocurrency in Australia and is collaborating closely with industry to determine the controls we need," he said. Global players such as CoinFlip, Localcoin, ByteFederal and Bitcoin Depot are competing for market share against local players in Australia's booming crypto ATM market. Operators charge users commissions of up to 20 per cent per transaction, in addition to other fees. The industry's peak body, the Digital Economy Council of Australia (DECA), acknowledges some ATMs are being exploited for scams and money laundering. However, DECA chair Paul Derham argued most customers are legitimate traders simply trying to access digital assets in the face of banking restrictions. "One of the challenges Australians face is that if they want to buy crypto, sometimes their banks won't let them. "So they withdraw cash and go to a crypto ATM instead," said Mr Derham, who is also a lawyer representing several global ATM operators. Mr Derham said while there are different views, broadly speaking the industry does not support transaction limits of $5,000. He said there would be additional compliance costs for businesses. Mr Derham said customers may also use multiple CATMs to get around the new conditions. "The industry would prefer to control these thresholds themselves using their own risk based approach — which they are legally required to do anyway. "For example, if a person is considered low risk and has a long history with a CATM provider, they should have a higher threshold." Asked whether the business would remain viable if they could no longer be used for scams and money laundering, Mr Derham said: "No-one's been able to crack the code to stop scams. Even Australia's biggest banks haven't been able to completely eliminate the risk. "The reality is that some scams are being run by highly coordinated international networks — including state-backed actors — who are actively targeting vulnerable people."
