The average capacity utilization of Ukrainian Miltech and DefenseTech companies from Technological Forces of Ukraine is 55%, and 79% of surveyed manufacturers consider short-term government contracts to be a blocker to their growth.
The average capacity utilization of Ukrainian Miltech and DefenseTech companies from Technological Forces of Ukraine is 55%, and 79% of surveyed manufacturers consider short-term government contracts to be a blocker to their growth.
Such data is contained in an analytical report by the Technological Forces of Ukraine and the Office of Effective Regulation BRDO, which was presented as part of the forum «Joint Ventures, Joint Defense».
At the same time, the report notes that 97% of private defense industry manufacturers are waiting for the opening of arms exports.
«Most companies consider NATO member countries as priorities for exporting technology and military weapons. Manufacturers also see the countries of the Middle East and North Africa as potential export markets,» the authors of the document explain.
According to the report, the projected total revenue of Ukrainian arms manufacturers in 2025 could amount to 4 billion euros.
In terms of geography, the main centers of arms production, according to the report, are Kyiv and Western Ukraine. At the same time, most manufacturers have several production sites, and the average time for a manufacturer to deploy a new production site is only three months.
88% of surveyed gunmakers participate in direct procurement by military units, compared to 64% of manufacturers who participate in government procurement.
As for the issue of localization, over 28% of respondents use at least half of the components produced in Ukraine.
Most Ukrainian Miltech and DefenseTech companies were founded during a full-scale war, and only 26% of such manufacturers began their activities by 2022.
Among the surveyed arms manufacturers, 42% have between 50 and 199 employees, and 23% have between 200 and 2,000. 27% of arms manufacturers have a staff of 11-49 employees, while 8% are truly large enterprises with over 2,000 workers.
Earlier, the executive director of the Technological Forces of Ukraine , Kateryna Mykhalko, in an interview with dev.ua, expressed her belief that after the opening of arms exports, Ukraine should compete in this matter for the markets of neutral countries, in particular, with Russia.
She also claimed that the Verkhovna Rada is working on a draft law on arms exports, which should lay the foundations for legislative regulation of this process.
