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“Give Ukrainian defense companies more money”: Denmark’s direct procurement model shows path for European security

The integration of Ukraine’s battle-tested defense industry with European technological expertise could create mutual benefits beyond the current war, addressing Europe’s production shortfalls while ensuring Ukraine’s long-term security independence.
A drone-missile Peklo.
“Give Ukrainian defense companies more money”: Denmark’s direct procurement model shows path for European security

Ukraine is now significantly less dependent on foreign weaponry, yet its military success could be further enhanced with greater involvement from the EU, The Economist writes. 

Ukraine’s security is deeply intertwined with European stability. Russia’s war shattered the post-Cold War security architecture, highlighting Ukraine’s pivotal role in deterring further aggression. A secure Ukraine strengthens Europe’s collective defense, particularly within an EU-NATO framework. Integration into a unified defense system offers strategic benefits: it enhances intelligence sharing, cybersecurity, and joint military planning, while fostering Ukraine’s defense industry through partnerships with EU states.

One way to meet Ukraine’s defense needs is by supplying more European-made equipment, but this is challenging as many European defense companies are hesitant to ramp up production without long-term contracts.

Instead, European governments should focus on military aid that supports Ukraine’s defense industry. One potential solution is for European nations to directly purchase weapons from Ukrainian manufacturers. Furthermore, the EU could incentivize joint ventures between European and Ukrainian companies through contracts or joint investments.

Such collaborations would not only help Ukraine develop faster and more accurate offensive missiles but also address its critical shortfall in anti-aircraft missile systems capable of intercepting incoming Russian missiles. This would also allow both Ukraine and the EU to gain valuable experience in countering drones.

“Contracting with Ukraine and setting up joint ventures with its firms would be a cost-effective way to mitigate the end of American assistance. Individual European countries, led by Denmark, have already started down this path. These efforts need to be built on. Give Ukrainian defense firms more money, and they will make their own tools to keep Russia at bay,” the report says. 

Denmark has signed agreements to procure arms from Ukrainian manufacturers and supports local production to enhance Ukraine’s self-sufficiency in defense capabilities. This approach ensures faster production and delivery of equipment tailored to frontline needs. The Danish model has encouraged other countries, such as Norway and Sweden, to adopt similar strategies. 

Earlier, the Swedish government announced it would fund Ukrainian weapons production through the Danish model. According to a government statement, the financial support could potentially be used for producing 155 mm ammunition or the Ukrainian Bohdana artillery system.

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