As of October 2025, 51% of private miltech companies that are part of the Technological Forces of Ukraine association are planning to relocate abroad or have already done so.
As of October 2025, 51% of private miltech companies that are part of the Technological Forces of Ukraine association are planning to relocate abroad or have already done so.
This is evidenced by a survey conducted by the TSU, which was presented during the event «What awaits the drone industry? Scenarios for 2026.»
Among the main reasons for companies relocating abroad, survey participants named:
At the same time, 56% of private arms manufacturers included in the TSU see proactive actions by the state to improve the business climate in the defense sector, while 41% of surveyed manufacturers do not see any positive actions.
In addition, during the event, the Technological Forces of Ukraine announced three scenarios for the development of the drone industry in 2026 — «status quo», negative, and positive.
The «Status quo» scenario captures a number of challenges within which Ukrainian producers operate: limited budget resources and the lack of a unified state policy to support local producers. «This limits their development potential and creates a threat of losing competitive positions in both domestic and international markets,» the TSU notes.
The implementation of the negative scenario assumes that manufacturers, given the reduction in government orders and the inability to export, will continue to look for opportunities for relocation, while government customers will instead become more dependent on imports and assistance from partner countries.
A positive scenario, as the association believes, will mean a new stage in the development of Ukraine’s defense industry thanks to market conditions, long-term contracts, stable state regulation, opportunities for exporting products and technologies, and developing partnerships with allies.
«New TSU data show that the motivation for companies not to sever legal ties with Ukraine is the opportunity to export their own products (74%) and technologies (69%), the predictability of government orders for several years (69%). Among the deterrent factors, manufacturers also name the opportunity to create joint ventures (JV) with partner countries — 37%. This will significantly bring a positive scenario for the industry closer. And we, as an association, are ready to join this process,» adds Executive Director Kateryna Mykhalko.
The association also identified 9 steps for implementing a positive scenario:
As dev.ua wrote, President Zelensky estimated the potential of Ukrainian drone and missile production at $35 billion.
Earlier, Zelensky also announced the opening of Ukrainian arms exports along three tracks, adding that Ukraine would not engage in «armed charity» and would not help those «who do not care about Ukraine.»
