According to Minister of Defence Denys Shmyhal, the state is making the defence procurement system stable, predictable, and convenient for Ukrainian defence manufacturers.
“Contracts for military equipment included in the Weapons of Victory list will now cover the entire production cycle, including development, production, and repair. In addition, we are establishing medium-term procurement volumes and linking advance payment terms to stages of work to ensure predictable financing,” he said.
Denys Shmyhal noted that the Cabinet of Ministers launched the Weapons of Victory at the end of 2024. Clear eligibility criteria were established at that time for manufacturers to receive state-guaranteed long-term contracts with durations of three, five, or ten years.
These requirements include:
- a localization rate of over 50% based on the aggregate cost of all components
- codification of weaponry models
- a long-term operational requirement for this weaponry by the military
- serial production of this weaponry by Ukrainian defence industry enterprises.
“The implementation of long-term contracts will accelerate and scale up production, ensure uninterrupted deliveries of weapons and equipment to military units, and open up long-term development prospects for Ukraine’s defence industry for decades to come,” the Minister of Defence concluded.