Ukraine has received substantial financial support totaling over 150 million euros ($156 million) for its defense industry from Denmark, France, and Lithuania, according to Ukrainian Defense Minister Rustem Umerov.
Since Russia’s full-scale invasion in 2022, the Ukrainian defense sector has rapidly adapted to meet the challenges posed by ongoing war. This transformation is bolstered by substantial financial support from international allies, however, Ukraine has faced delays in receiving foreign military aid, prompting the government to establish domestic weapons production facilities. Ukrainian defense manufacturers can also produce weapons at significantly lower costs compared to Western counterparts.
The largest contribution comes from Denmark, with 111 million euros allocated through agreements between the Ukrainian and Danish defense ministries, according to Umerov.
Denmark has emerged as a pioneer in providing direct financial support to Ukrainian defense enterprises, exemplifying a model that allows for quick responses to frontline needs while reducing reliance on traditional international aid channels.
France has provided a 29 million euro grant to enhance Ukraine’s security capabilities, while Lithuania has committed 10 million euros through a recently signed memorandum focusing on long-range drone production.
The Lithuanian agreement, signed on 23 November, specifically targets the development of the “Palianytsia” project, marking a significant step in Ukraine’s domestic defense production capabilities.
The Palianytsia is long-range missile-drone hybrid produced by Ukraine, as the country seeks to reduce reliance on foreign military supplies. Officially announced on 24 August 2024, the Palianytsia has already been deployed in combat, striking a Russian military facility in occupied territory.
“These funds will primarily support the production of missiles, deep-strike drones, and artillery systems,” Umerov said, emphasizing the strategic importance of these partnerships.
President Volodymyr Zelenskyy has outlined ambitious production targets for 2025, announcing plans to manufacture at least 30,000 long-range drones using domestic technological facilities. Additionally, Ukraine aims to produce no fewer than 3,000 cruise missiles and drone missiles.
Related:
- Zelenskyy says Ukraine to produce thousands of drones and long-range Neptune missiles in 2025
- Denmark allocates $ 137 mn to Ukrainian Defense Industry – Danish Prime Minister
- Rheinmetall’s Ukrainian expansion is building a defense industry powerhouse
- Economist: Ukraine secretly revives its missile industry amid aid uncertainty
