Ukraine Approves Export Mechanism for Drone Deal Partners

Ukraine’s government has approved its first transparent mechanism for exporting Ukrainian-made weapons and defense technologies to partner countries, aiming to help manufacturers scale up production without compromising the country’s own military supply needs.

According to the Defense Minister Mykhailo Fedorov, the mechanism allows partners in the Drone Deal framework, or countries with relevant intergovernmental agreements with Kyiv, to purchase Ukrainian weapons and work directly with domestic manufacturers. 

“This was a task set by the President of Ukraine,” Fedorov said, adding that it aims at “giving Ukrainian manufacturers clear rules for working with international partners, allowing them to scale production, attract investment,” simultaneously guaranteeing that “the needs of Ukraine’s Defense Forces remain the top priority.”

The system applies to weapons and defense technology transfers valued at HR.15 million (roughly $334.795) or more, with export applications reviewed within a 30-day window.

How the system will work

Under the new rules, Ukraine’s Ministry of Foreign Affairs will determine the list of eligible partner states, while the Ministry of Defense – with help from other authorized bodies – will identify critical goods barred from export.

Ukrainian technology remains under state protection throughout the process, and transfers exclude any transfer of intellectual property rights.

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Re-export to third parties requires Ukraine’s written consent. If products built on Ukrainian technology are later exported to third countries, 20% of their value will flow into the state budget.

Ukraine’s own military needs remain the priority

Fedorov said exports will only proceed if Ukraine’s own defense needs are fully met first – if the state requires a particular type of weapon, export permission may be withheld. 

Manufacturers can still pursue export deals if they can guarantee they will simultaneously fulfill government contracts alongside any international orders.

“Opening up exports is another step toward developing Ukraine’s defense industry and strengthening the economy,” Fedorov said. “The stronger Ukrainian manufacturers become, the more modern technologies the Defense Forces will receive.”

The move builds on the growing strength of Ukraine’s defense tech sector, which Fedorov said has proven its battlefield effectiveness throughout the war. 

Talks with Denmark advance the Drone Deal framework

President Volodymyr Zelensky met with Danish Defense Minister Jeppe Bruus in Kyiv on June 26 to finalize a drone cooperation agreement, one of the first deals expected to operate under the new export mechanism.

Zelensky said the agreement is “almost ready” and expressed hope it could be signed in the near future, as both countries also discussed deepening cooperation on European anti-ballistic missile defenses.