Ukraine sees billions in defence exports in 2026

Ukraine could generate several billion dollars in defence exports in 2026, following its first approval of wartime foreign arms sales, according to a senior security official speaking to Reuters.

Davyd Aloian, deputy secretary of Ukraine’s National Security and Defence Council, said a state licensing commission has already approved most of 40 export applications submitted by Ukrainian defence producers. These cover military goods, components, spare parts, and technical services. Ukraine had suspended all weapons exports after Russia’s full-scale invasion in February 2022.

Despite the pause, Kyiv has rapidly expanded its domestic arms industry, particularly in drones, missiles, and battlefield technologies refined through combat experience. Aloian said the export potential now exceeds pre-war levels, estimating it could reach “several billion dollars” annually once fully implemented.

However, he cautioned against expectations of an immediate export surge. Ukraine’s armed forces remain the top priority as Russian troops continue offensive operations in the east and conduct long-range strikes nationwide. Any exports will be carefully balanced against frontline needs.

Foreign interest in Ukrainian defence technology is strong. Aloian named Germany, United Kingdom, the United States, Nordic states, several Middle Eastern countries, and at least one Asian nation as potential partners. Priority will go to countries that have strongly supported Ukraine during the war.

Rather than focusing solely on sales, Kyiv aims to expand joint ventures and co-production agreements to attract investment, secure supply chains, and access advanced technologies. Ukraine is also considering introducing a defence export tax, with revenues potentially redirected to fund its own military.

Notably, Aloian said none of the approved applications involve exporting complete weapons systems. Many relate to equipment tied to the FrankenSAM program, which combines Ukrainian Soviet-era systems with Western missiles.

Key Takeaways

• Ukraine’s defence exports could reach several billion dollars in 2026

• Kyiv prioritises frontline needs and trusted allies over rapid sales

• Joint ventures and possible export taxes are under consideration

Exclusive-Ukraine's 2026 defence exports could hit 'several billion dollars', official says