I can't speak to this tournament specially, but I will say this: almost all tournaments have ranking requirements to play, so a team cannot play down if they have a higher ranking than allowed by that division. The Ukraine team is also a mixed team of 11 and 12 year olds, so it's unlikely they'd be competitive in a true peewee major AAA division. I can't speak to whether they should be in AA, elite, or AAA, but the tournament likely controls that better than any spectator realizes.