Build in Ukraine: an initiative driving the localization of international companies in Ukraine
The ‘Build in Ukraine’ initiative is designed to integrate Ukraine’s defense industry into the European defense ecosystem, increase security assistance to Ukraine, and attract additional investment.
Amid the full-scale war, Ukraine is not only repelling the aggression but also transforming its defense industry. That is why the state is focusing not only on procuring or receiving finished products from international partners but also on developing its national defense industry and creating joint ventures with partners.
Build in Ukraine is one of the key initiatives driving this process. The Ministry of Defence of Ukraine provides an overview of this initiative and outlines the current progress in the development of Ukraine’s defense industry achieved through its implementation.
Build in Ukraine: localization of international companies
The ‘Build in Ukraine’ initiative aims to encourage foreign defense companies to establish production facilities directly in Ukraine. This approach not only ensures that the Defence Forces are promptly supplied with the necessary weapons but also makes Ukraine a full-fledged player in the global defense technology market.
Today, several companies are already operating or expanding their production capacities in Ukraine, including:
- BAE Systems (United Kingdom) – joint production and maintenance of L119 howitzers.
- Rheinmetall (Germany) – establishment of repair and production facilities for armored vehicles.
- SAAB (Sweden) – agreements on joint production of air defense systems.
- Northrop Grumman (United States) – agreements on joint production of ammunition.
Furthermore, Ukraine is attracting companies that specialize in advanced technologies, including unmanned systems, cybersecurity, and counter-drone capabilities. This enables the country to strengthen its defense capabilities while creating new jobs.
As of now, over 25 foreign companies are progressing through various stages of localizing their operations in Ukraine.
The Build in Ukraine initiative demonstrates that Ukraine is shifting from the role of a recipient of defense assistance to a full-fledged partner in the production of modern weapons.
This long-term strategy reinforces national defense capabilities, boosts the economy, and expands prospects for international cooperation. Ukraine is progressively emerging as a European hub for advanced defense technologies — a process that has become irreversible.