Ukraine signs two contracts with domestic defence industry worth $121m - Umerov
We buy and support our own, contributing to the development of our economy and industry, emphasises Defence Minister
Ukraine has signed two contracts totalling almost UAH 5 billion ($121 million) with domestic defence companies, Defence Minister Rustem Umerov said on 30 July.
In a post on Facebook, Umerov called the two agreements ‘critically important for the Armed Forces of Ukraine’.
‘This is extremely important for strengthening the defence capability of our country. After all, we buy and maintain our own, contributing to the development of our economy and industry,’ the minister said.
Umerov signed the agreements during a trip to Kharkiv and Poltava regions with President Volodymyr Zelenskyy on 29 July.
He did not specify the names of the companies or the weapons involved, but a video accompanying the Facebook post showed him inspecting boxes of mortar shells and showing a truck-mounted machine gun.
In recent months, Kyiv has pushed to increase domestic arms production amid growing uncertainty about arms supplies from partners abroad.
According to Minister of Strategic Industry Oleksandr Kamyshyn, Ukraine's defence industry has a capacity of about $20 billion, but the state can only raise up to $10 billion to buy weapons and equipment.
Ukraine has its own versions of drones, maritime drones, and planned versions of air defence systems.
In addition, as reported, German arms manufacturer Rheinmetall plans to set up at least four factories in Ukraine to produce artillery shells, military equipment, gunpowder, and anti-aircraft weapons, the first of which received an order in June.
‘Ukraine wants foreign partners to invest about $10 billion in the production of Ukrainian weapons in 2024 as part of a campaign called ‘Freedom of Production’,’ Kamyshin said.
Background. Meanwhile, it was reported that the Pentagon found ‘accounting errors’ worth $2 billion in funds allocated to help Ukraine. Due to these errors, the US Department of Defence may send Ukraine another $2 billion worth of weapons, which will exceed the amount already approved by President Biden.
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