The Swedish defense company Saab is considering the prospect of opening a plant in Ukraine for the production of Gripen fighter jets. Company representatives noted that even despite the challenging security situation, organizing at least final assembly and testing of aircraft in Ukraine, and eventually partial production, would be an important step for the development of the country’s aerospace industry.
This is reported by Finway
Expansion of Production and Project Financing
Saab is currently actively investing in the expansion of its production facilities in Brazil, planning to increase annual output of Gripen to 20–30 units. At the same time, the company is exploring further expansion in Canada and other European countries. According to analysts, Saab has better chances of ramping up production compared to most competitors: in its best years, the company produced up to 18 aircraft per year, while currently this figure stands at just over half of the peak level.
One potential source of funding for Saab’s Ukrainian project could be the use of frozen Russian assets, which is currently being discussed at the international level.
Long-term Cooperation with Sweden
Recently, Ukraine and Sweden signed an important agreement for the supply of up to 150 state-of-the-art Saab JAS 39 Gripen E fighter jets. This contract is designed for the long term, as the production of this modification has only just begun and requires significant investments in production infrastructure.
“During wartime, this is not easy, but it would be great to establish at least final assembly and testing of aircraft in Ukraine, and eventually, perhaps, partial production,” the company stated.
If these plans are realized, Ukraine will be able to significantly enhance its defense capabilities and increase investment in the technology sector.