Peikko Group to open new factory in Bila Tserkva, Ukraine in 2025

Lahti-based family-owned company Peikko Group is set to open a new factory in Ukraine in early 2025. Peikko specializes in manufacturing connection elements for building components and cast-in-place structures, as well as wind energy solutions.

The company is constructing a 2,400-square-meter facility in the industrial zone of Bila Tserkva, a city with a population of around 200,000, located near the capital, Kyiv. According to CEO Topi Paananen, the new factory will contribute to Ukraine’s reconstruction efforts. However, he acknowledges that expectations must be tempered with realism, given the ongoing conflict.

“There are high expectations, but we must remain realistic. The situation in a war-torn country can change at any moment. Nevertheless, we anticipate being able to serve local customers and the construction market, regardless of whether war or peace prevails next year,” Paananen stated.

Peikko opened a sales and design office in Kyiv last year, which has helped establish strong customer relations and networks. Paananen noted a demand for Peikko’s products in Ukraine, highlighting their ability to reduce labor needs on construction sites—a crucial factor in a country facing workforce shortages.

While Peikko operates in 12 countries worldwide, this marks its first active business venture in a war-affected region. Paananen recognizes Ukraine as one of Europe’s most corrupt countries, presenting clear risks, but remains hopeful that challenges can be avoided.

He emphasizes that participating in the rebuilding of a war-torn nation is a significant factor encouraging Peikko’s investment in Ukraine. Paananen invites other Finnish companies to take managed risks in Ukraine to demonstrate commitment and contribute to reducing corruption while creating local employment opportunities.