Ukraine to Increase Drone Production to 2.5 Million by 2025 – Contracts Worth $2.5 Billion Signed

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Ukraine to Increase Drone Production to 2.5 Million by 2025 – Contracts Worth $2.5 Billion Signed

Ukraine is significantly ramping up its drone production: by 2025, it plans to produce 2.5 million drones, which is 150% more compared to last year when 1 million devices were manufactured. To support this initiative, the Ministry of Defense of Ukraine has signed contracts with 76 domestic companies worth over $2.5 billion for 2024-2025. In total, more than 500 suppliers are involved in providing drones for the army.

This is reported by Finway

Support from International Partners and New Technologies

In addition to its own production, Ukraine is receiving drones from foreign allies. In particular, the United Kingdom plans to increase its drone supplies to Ukraine by 900%: by April 2026, London will deliver 100,000 drones. Ukraine is also collaborating with Germany in this area.

Ukrainian FPV drones, some of which cost no more than $400, demonstrate high effectiveness against the expensive military equipment of the Russian Federation. According to estimates from the Royal United Services Institute (RUSI), up to 70% of Russian equipment losses are caused by drone attacks. The Ukrainian defense industry is capable of producing up to 10 million drones per year.

“The Ministry of Defense of Ukraine has allocated over $2.5 billion in 2024-2025 for local drone manufacturers, signing contracts with 76 companies. Overall, the army relies on more than 500 suppliers.”

New Developments in the Ukrainian Defense Industry

Recently, the Ministry of Defense approved the Chief-1 unmanned aerial complex for use in the Armed Forces of Ukraine, which was developed in Ukraine. It is designed to target enemy aircraft or opposing forces.

Additionally, the Ukrainian startup Buntar Aerospace has presented the Buntar-3 reconnaissance drone, which is noted for its high resistance to electronic warfare measures. The new model has already been tested on the front lines, and the startup is moving to the contracting stage and preparing for the serial production of the Buntar-3.