This article reveals the contribution of woodland expansion in Ukraine to climate change mitigation policies. The opportunities for climate change mitigation of three policy scenarios: (1) carbon storage in forests, (2) carbon storage and additional wood-for-fuel substitution, and (3) carbon storage with additional sink policy for wood products, are investigated by using a simulation technique, ... [Show full abstract] in combination with cost—benefit analysis. The article concludes that the Ukraine's forests and their expansion offer a low-cost opportunity for carbon sequestration. Important factors that influence the results are the discount rate and the time horizon considered in the models. The findings provide evidence that the storage climate change mitigation forest policy scenario is most viable for the country, under the assumptions considered in this research.