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Kyiv City to build a UAV factory

Kyiv City authorities aim to establish a municipally-owned unmanned aerial vehicle production enterprise with an initial $10.1 million budget allocation.

byYuri Zoria

27/03/2024

2 minute read

UAV assembly shop of the Ukrainian company Ukrspecsystems, 2022. Photo: Ukrspecsystems, via Militarnyi

Kyiv City to build a UAV factory

The Kyiv City authorities are planning to establish a municipal enterprise for the production of unmanned aerial vehicles. This intention is detailed in a draft decision that has been registered with the Kyiv City Council, as reported by Militarnyi.

Currently, there are around 200 companies in Ukraine producing unmanned systems, with approximately 50 of them having already obtained permits from the Ministry of Defense and are supplying various drones to the army.

As per the draft, the new municipal enterprise will fall under the jurisdiction of the Department of Municipal Security of the Kyiv City State Administration. This department will be responsible for formulating the regulations governing the utility company.

If the decision receives approval, budget funds totaling UAH 400 million ($10,1 million) will be allocated for the project, constituting the authorized capital of the future enterprise.

According to the explanatory note, the establishment of this new municipal enterprise will result in job creation and foster competitive conditions within the drone production market in both Ukraine and Europe.

The company is supposed to help establish drone production in Kyiv by securing funds from the city budget and allocating them for relevant expenditures in the following years.

According to the document, the utility company may include in its staff and directly involve in drone production certain employees of Kyiv’s executive authorities who have higher education in engineering, particularly in the field of aviation and UAVs.

In January of this year, the Kyiv City Council allocated 500 million hryvnias ($12,7 million) to purchase drones for military units.
Ukraine has recently conducted tests on over 50 new ground drones designed for various purposes. These tests included strike platforms, turrets, and platforms capable of destroying Russian positions and equipment, as well as tasks such as mine clearance, casualty evacuation, and ammunition delivery to positions.

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