Ukrainian Defense Industry, also known as Ukroboronprom, is the largest arms manufacturer in Ukraine and one of the 50 largest companies in the arms industry.[4] The company has relocated parts of its production abroad since the 2022 Russian invasion of Ukraine.
The concern includes enterprises that operate in the development, manufacture, sale, repair, modernization and disposal of weapons, military and special equipment and ammunition, and participating in military-technical cooperation with foreign states.
As of 2025 corporatization continues.[5]
History
Ukroboronprom was created in 2010 by presidential and ministerial decrees.[6]
In September 2013, five divisions were created for the organizational structure of Ukroboronprom: aircraft industry and aircraft maintenance; precision weaponry and munition; armoured vehicles, automotive equipment, engineering and special equipment; shipbuilding and marine facilities; radar, radio communications and air defense systems.
In 2016 Ukroboronprom signed a memorandum of cooperation with the former head of the Agency for Defence Advanced Research Projects (DARPA) Anthony Tetter. He became an advisor on the long-term development of "Ukroboronprom".[7]
"Ukroboronprom" was the first among Ukrainian industrial giants to launch a system of e-procurement. Its official start was in October 2014. The concern claims they saved US$304.8 million in 2015, and in 2016 – ₴476.6 million.[8]
Ukroboronprom increased its production and began to provide Ukraine's Armed Forces with modernized weaponry. In 2017, Ukroboronprom completed the State Defence Order and conveyed 3,673 units of weapons and equipment to the security agencies of the country, including 2,053 new and upgraded ones.[9]
For 2014–2017, Ukroboronprom rose by 14 positions – from 91 to 77th place – in the SIPRI world ranking of arms manufacturers.[10]
Ukroboronprom together with the American company Delphi Corporation has launched a new enterprise "Electric Systems". It has become the official supplier of components for Mercedes products.[11]
On 12 February 2018 Roman Romanov resigned[12] and was replaced on 21 February 2018 when the President of Ukraine appointed Pavlo Bukin as Director General.[13] Aivaras Abromavičius succeeded him on 31 August 2019. Abromavičius was succeeded by Ihor Fomenko on 6 October 2020. Yuriy Husev was placed as General Director in December 2020.
Russian invasion
During the 2022 Russian invasion of Ukraine, Ukroboronprom Concern repaired and maintained both Ukrainian vehicles and captured Russian vehicles.[14][15] It offered US$1,000,000 to Russian pilots for every combat-capable aircraft handed over to them as well as $500,000 for every combat-capable helicopter handed over.[16]
On 6 March 2022, Ukroboronprom Concern's Zhytomyr Armour Plant was destroyed, with three people being killed.[17] On 15 April, the Ukroboronprom Concern Vizar Plant was struck with several sea-based long-range missiles. The plant produced R-360 Neptune cruise missiles for the Armed Forces of Ukraine and is believed that the strike was reprisal for the sinking of the Russian warship Moskva by two Neptune missiles.[18]
General background
The conglomerate was established in 2010 in place of the existing "Armoured Equipment of Ukraine" (1999) and "Technological Military Service".[30][31][32][33]
In 2014 the conglomerate included 134 enterprises of the military–industrial complex of Ukraine[30] and employed some 120,000 people. In 2012 eighteen of those companies were to be reorganized (Resolution #223, March 21, 2012).[34] They included: According to the company, China and India are a traditional market for Ukrainian military products.[36]
Structure
State Concern consists of 134 military industry sector enterprises of Ukraine (123 state enterprises and 9 joint stock corporations, with the profits participation rights delegated to the management of "Ukroboronprom").
Manufacturing and design sector
Armored vehicles, artillery armament, automotive, and special engineering equipment
- "Artyleriyske Ozbroyennia" (Artillery Weaponry) Design Bureau (Kyiv)
- 45th Experimental Mechanical Factory (Vinnytsia)
- Donetsk Treasury Factory of Chemicals (Donetsk)
- Feodosiya Optical Factory (Feodosiya, Autonomous Republic of Crimea)
- Izyum Device Manufacturing Factory (Izyum)
- Kharkiv
Directors General
University cooperation
"Ukroboronprom" has cooperation with Central Scientific Research Institute of Armaments and Military Equipment of Armed Forces of Ukraine[47] and leading Ukrainian universities like Kyiv-Mohyla Academy, Kyiv Polytechnic Institute, Kharkiv Polytechnic, V. N. Karazin Kharkiv National University, ME Zhukovsky KAU, Kharkiv National University of Radio Electronics and I. Kozhedub Kharkiv University of Air Force.
Best inventions of Ukrainian students are being embodied. Scientists of the Kyiv Polytechnic Institute have created a UAV. Students of other universities are actively involved in apprenticeship on the leading enterprises of Ukroboronprom.
In 2016, "Ukroboronprom" began to work with the best business schools in the country. In particular, the International Management Institute and Kyiv-Mohyla Business School. Senior management, management of the average level plants and industrials undergo training.[48]
At the end of 2017 "Ukroboronprom" and Igor Sikorsky Kyiv Polytechnic Institute opened a new master's program "Management in the field of defence and industrial complex".[49]
New developments
In the summer of 2016, "Ukroboronprоm" presented multipurpose unmanned aircraft complex "Gorlytsa" and tactical unmanned multipurpose vehicle "Phantom".[51]
On September 28, 2016, at the international exhibition of armaments "ADEX-2016" in Azerbaijan, the State Concern introduced a new combat module "Taipan"[52] which specifications meet the highest Western standards.
In 2016, "Ukroboronprom" also developed and presented a digital fire control system "Myslyvets",[53]combat modules "Duplet" and "Kastet", 60 mm mortar KBA.118, and transport aircraft An-132.[54]
At the beginning of 2017, "Ukroboronprom" agreed with the American company "Aeroscraft" on co-production of automatic M16 rifle (model WAC47) that meets NATO standards.[55]
International activity
Ukroboronprom actively works with foreign partners and has signed contracts to deploy production in Ukraine. For example, Ukroboronprom and Polish company Lubawa SA signed a memorandum on the establishment of new joint ventures in Ukraine, that will get 1 million euros investment.[67]
At the international exhibition " Arms and Security 2015" in Kyiv, Ukroboronprom agreed on cooperation with the American company "Textron" in the production of heavy armored vehicles. The cooperation between Antonov and Polish company "WB Electronics" was also agreed. Ukraine will use the technology of the Polish company to develop a new tactical unmanned aviation complex for the Armed Forces.[68]
At one of the largest Asian international defence exhibition "Defence & Security 2015", Ukroboronprom signed an agreement with the enterprise authorized by the Ministry of Defence of Thailand to manufacture modern Ukrainian BTR-3E1 and ensure its service in the Kingdom.[69]
At the International Aviation Salon Dubai Air Show in 2015, Antonov and the company "Taqnia Aeronautics" signed two memorandums on cooperation in promoting 4 sanitary AN-148-100, 4 reconnaissance and rescue variants of the AN-132, and 2 devices for producing of radio interference based on the aircraft to the market of Saudi Arabia.
Reforming strategy of the military-industrial complex of Ukraine
In 2016, "Ukroboronprom" developed a strategy for reforming military-industrial complex of Ukraine.[83] It consists of five key initiatives: corporatization, clustering, audit, a platform of innovations, and technologies protection. In 2016, Aircraft Corporation has been already created on the basis of "Antonov".[84] Four clusters are in the process of creation: armored vehicles, shipbuilding, high-precision weapon systems, radar, electronic warfare and communications. A technical task for an independent audit by leading international consulting and auditing companies was developed.[85]
In May 2017, "Ukroboronprom" presented a new website presenting the strategy for reforming of the military-industrial complex of Ukraine – reformdefence.com. The site contains all important materials for each of the areas of strategy: corporatization, clustering, audit, technologies protection, and launch of the General Advanced Research and Development Agency (GARDA) that will be a platform to bring together developers, startups, investment funds, and military.
In November 2017, "Ukroboronprom" launched a new phase of reform – an international audit.
Associated products
Ukroboronprom companies among others, manufacture such products:
Export Economics
The defense industrial sector generated $2.14 billion in export revenue during 2023, with 68% originating from NATO member states and partner countries procuring artillery ammunition, armored vehicles, and unmanned systems. Production capacity utilisation increased from 41% in 2021 to 76% in 2024 across the sector's 134 enterprises employing 87,400 workers.[95]
Export licensing procedures were streamlined through Cabinet of Ministers Resolution 1229, reducing approval timelines from 120 days to 45 days for NATO and EU+ country contracts. The State Export Control Service processed 847 applications valued at $4.32 billion in 2024, with a 76% approval rate.[95]
Foreign Military Financing from the United States allocated $1.9 billion for Ukrainian-manufactured systems within the FY2024 appropriation, prioritising anti-tank guided missiles ($620 million), tactical UAV systems ($890 million), and electronic warfare equipment ($390 million). The European Peace Facility's €2.8 billion joint procurement initiative includes €1.1 billion in direct contracts with Ukrainian manufacturers for ammunition and communications systems.[95]
Co-production agreements with Poland established licensed manufacturing of Ukrainian unmanned systems (18,000 unit contract, $340 million) and reactive armor technology transfer with 7% royalty rates. Czech Republic partnerships enable 152mm ammunition production using Ukrainian propellant technology, with initial contracts for 120,000 rounds valued at $180 million.
See also
- List of design bureaus in Ukraine