A year after the announcement of Ukrainian arms exports, special mechanism still not operational — Ihor Fedirko

A year after the announcement that controlled Ukrainian arms exports would resume, the special mechanism is still not effectively operational. Ihor Fedirko, CEO of the Ukrainian Armourers Council, wrote, analysing the main decisions and results over this period.

He also called on the state to publish consolidated data on how much additional funding exports have generated for defence and how much weaponry the military has received as a result.

Timeline of the launch of exports

• October 2025 — the president announced the resumption of Ukrainian arms exports at DFNC³.
• 3 November — Berlin and Copenhagen were named among the first cities for export offices. In December, the president again announced preparations for an office in Berlin.
• 12 February 2026 — the National Security and Defence Council reported a meeting of the Interagency Commission on Military-Technical Cooperation and Export Control Policy.
• February — plans were also announced to establish ten joint ventures in Europe during 2026. That same month, the government officially announced the launch of Quantum Frontline Industries in Germany. The company plans to produce 10,000 drones a year for Ukraine.
• 4 June — the president instructed officials to ensure the adoption of regulatory changes related to exports.
• 1 July — the Cabinet of Ministers adopted Resolution No. 875. It reduced the document review period from 90 to 30 days and introduced tacit consent during interagency approval.
• 31 July — F-Drones announced the delivery of 2,000 F10 drones to the United States. The company received a permit under the general procedure.
• September — the Ukrainian Armourers Council and other associations proposed changing the terms of the special mechanism.
• Early October — the National Security and Defence Council reported more than 400 applications reviewed. Over 90% were approved, and more than 18 permits were issued for the export of finished products.
• 2 October — Interagency Commission chair Davyd Aloian said the list of critical weapons was still being drafted and that Resolution No. 875 had effectively not entered into force.
• 12 October — the Verkhovna Rada supported Bill No. 15400 at first reading, setting out how export payments would be used.

Conditions under the special procedure

Resolution No. 875 sets a fee of 20% for finished products and technologies and 30% for components. Under this procedure, the minimum contract value for finished products is UAH 15 million.

The Ukrainian Armourers Council proposes significantly reducing the rate, collecting the fee after the contract is fulfilled and the manufacturer receives payment, allowing refunds for uncompleted deals, and simplifying the supply of small test batches.

Bill No. 15400 provides that export fees be transferred to the state budget’s special fund. Half of the proceeds would fund the procurement, modernisation, and repair of weapons and equipment. The other half would go towards financial support for Armed Forces personnel.

Joint ventures abroad

Fedirko notes that eight joint ventures have already been established, five of which supply products to Ukraine.

At the same time, he believes that the terms of the Build with Ukraine programme need clarification: manufacturers need to understand who receives applications, what criteria are used to assess them and what support companies can receive.

“The key question on the anniversary is: how much additional resources have exports already brought to defence, and how much additional weaponry has the military received?” concluded the CEO of the Ukrainian Armourers Council.