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25. July 2025
Ukraine Bolsters Air Defenses With 3 Billion Drone Deal Amid Russia Tensions
The Defence Procurement Agency (DPA) has taken significant strides in bolstering Ukrainian airspace with the recent acquisition of interceptor drones worth over UAH 3 billion. Since the beginning of 2025, DPA has signed three state contracts for the procurement of interceptor drones, marking a significant milestone in the agency’s efforts to modernize Ukraine’s air defense systems.
The total value of these contracts exceeds UAH 3 billion, making them one of the largest procurements in recent Ukrainian history. The acquisition of these interceptor drones is critically important for Ukraine’s national security, as the country has faced numerous challenges in protecting its airspace from various threats, including Russian-backed separatists and other adversarial forces.
The new drone technology will provide a significant enhancement to Ukraine’s air defense capabilities, enabling the country to better detect and respond to potential threats. Arsen Zhumadilov, Director of DPA, stated that “interceptors are critically needed to protect Ukrainian airspace. We at the Agency are doing everything possible to ensure that procurement in this area is carried out systematically, promptly, and without delay.” This statement highlights the agency’s commitment to delivering these critical systems to Ukraine as quickly as possible.
As of July 2025, the DPA’s total contract volume funded in the field of unmanned systems has reached UAH 99.3 billion. This represents a significant increase compared to the previous year, with the agency contracting three times more UAVs than in the entire previous year. The volume of goods delivered during this period exceeds last year’s by more than half.
Notably, more than 95% of the contracted UAVs are Ukrainian-made. This emphasis on domestic production reflects Ukraine’s growing capabilities in the field of unmanned systems and highlights the country’s commitment to supporting its own defense industry. By prioritizing local production, DPA is promoting economic growth and self-sufficiency in the defense sector.
In an effort to make the procurement process more efficient, transparent, and understandable for all participants, DPA is expanding its contracting models. The agency has introduced framework agreements specifically for FPV drones based on their tactical and technical specifications. This allows such tenders to be held in Prozorro, a widely used e-procurement platform in Ukraine, which ensures competition between participants by involving a wider range of manufacturers.
Previously, purchases were made exclusively based on a list and requirements that clearly specified the product characteristics. By introducing these framework agreements, DPA aims to create more opportunities for Ukrainian manufacturers and other bidders to participate in the procurement process.
The DOT-Chain Defence weapons marketplace has begun operating in pilot mode, providing another platform for Ukraine’s defense industry to operate on. Twelve brigades of the Armed Forces of Ukraine have joined this marketplace, which will enable them to independently choose the types and quantities of UAVs using DPA funds. The agency will provide operational administration, including signing contracts, payment, and logistics.
This innovative approach has the potential to significantly reduce delivery times for drones to the front lines, with the IT system expected to minimize delivery time to just a few weeks. Moreover, this system will enable more targeted supply, as the military will be able to choose the types of UAVs that best suit their needs.
The introduction of these new contracting models and marketplaces marks an important step forward for Ukraine’s defense industry. By supporting domestic production and promoting competition, DPA is helping to create a more vibrant and dynamic defense sector that can meet the country’s growing security challenges.
As the situation in Eastern Europe continues to evolve, Ukraine remains committed to strengthening its military capabilities and protecting its sovereignty. The recent acquisition of interceptor drones is just one example of this commitment, demonstrating the agency’s dedication to delivering critical systems to support Ukraine’s national security goals. With these new procurements, DPA is helping to enhance Ukraine’s air defense capabilities, ensuring a stronger and more capable military for the country’s future.