Ukraine Launches Regulated Export System for Weapons and Defense Technologies

Regulated Arms and Defense Tech Exports Take Effect in Ukraine

According to ХВИЛЯ: Ukraine’s government has introduced a new framework for the controlled export of weapons and defense technologies. Manufacturers now have a unified set of rules for entering partner markets, aimed at increasing transparency in the sector. Officials, including Defense Minister Mykhailo Fedorov and Prime Minister Yuliia Svyrydenko, have stressed that meeting the needs of the armed forces remains the top priority.

The new system applies to partner countries under the Drone Deal program, with which Ukraine has intergovernmental agreements. These export regulations will remain in effect for the duration of martial law. Importantly, the following contributions will be directed to a special state budget fund for defense industry development:

• 20% of revenue from exports of finished products and technologies;
• 30% of revenue from exports of components.

For finished goods, the minimum contract value is set at 15 million hryvnias, while components face no such lower limit.

Under the new rules, the Ministry of Defense will update every quarter a list of critical goods and technologies banned from export. The Ministry of Foreign Affairs will similarly maintain a list of countries approved for receiving exports. Manufacturers may only export if they can prove they can simultaneously fulfill both state and export contracts. Transferred technologies will remain under state protection, with intellectual property rights preserved and strict controls on usage and re-export.

Ukraine’s Defense Tech Sector on the Rise

Currently, more than half of the weaponry used on the front lines is produced domestically.

“Every export contract must serve the main goal: a strong defense industry in Ukraine and more of our own weapons for our military,” said Yuliia Svyrydenko.

Mykhailo Fedorov added:

“The stronger Ukrainian manufacturers become, the more advanced technology the Defense Forces receive.”

Producers are ramping up output of unmanned systems, electronic warfare tools, ammunition, and components, underscoring the growing battlefield effectiveness of Ukraine’s defense tech.

The introduction of regulated arms and defense technology exports reflects Ukraine’s drive to bolster its defense capabilities during wartime. These new rules enable Ukrainian manufacturers to engage more effectively with international partners, boosting the competitiveness of the nation’s defense industry. Funds channeled into the special budget account will also support further investment in defense technology development, which is critical for ensuring national security.

As Ukraine strengthens its defense capabilities through regulated exports, the newly launched Drone Deal initiative further enhances international partnerships, allowing allies to access vital weapons and technologies. This comprehensive approach not only boosts domestic production but also ensures that Ukraine's military needs are prioritized while fostering collaboration with partner nations.