President Volodymyr Zelensky recently announced the effective start of exporting Ukrainian weapons and military technologies. This decision opens new opportunities for the country’s defense industry and allows for the allocation of the funds received to strengthen key defense areas, particularly air defense (AD) and ammunition supply.
This is reported by Business • Media
Main Export Positions and Their Potential
Ukraine has a surplus in the production of maritime drones, electronic warfare and reconnaissance systems (EW/ISR), ground robotic complexes, acoustic sensors, as well as unmanned aerial vehicles (UAVs), especially FPV drones. These types of weapons and technologies are considered the most promising for export to the international market.
Potential initial export items may include anti-tank missile systems and maritime drones. The final list of products and the timeline for the start of exports will be determined by the Ministry of Defense based on the current needs of the Armed Forces of Ukraine.
Controlled Export as a Path to Strengthening the Defense Sector
Last year, defense sector enterprises faced the problem of underloading due to a lack of long-term government contracts. The implementation of controlled exports will help partially resolve this issue by ensuring stable loading of production capacities. At the same time, the surplus of certain types of weapons will be converted into financial resources for the procurement of scarce systems, particularly air defense, 155-mm shells, and explosives, which are critically needed at the front.
“The Ukrainian Arms Manufacturers Council reported that 94.4% of weapon manufacturers are ready to open exports of their products. They can produce more weapons than the state is able to finance.”
According to estimates from the National Association of Defense Industry Enterprises of Ukraine (NAUDI), the export of military products has the potential to provide the state budget with additional tax revenues of up to 2 billion US dollars over the next year and a half.