Weapons manufacturers in Ukraine have greatly increased production to help in the war against Russia, but are trying to sell their equipment to Kiev to help the war effort, according to a report published in “Newsweek”, cited by the Spanish publication La Reason.

Last year, Ukrainian factories produced $3 billion worth of weapons, and this year that figure will grow sixfold to $18 billion in an industry that employs about 300,000 people.

However, the state can spend only 50% of its military funds on domestic manufacturers, due to which equipment worth billions of dollars may remain on the shelves, reports the Ukrainian mass media “Economic Truth” (EP).

Without guaranteed government orders from Kyiv, this failure could force domestic arms factories to cut staff and slow the development of new products, threatening Ukraine’s ability to counter Russia.

“Due to the lack of funding, the conclusion of contracts takes place irregularly,” explained Yuliya Vysotska, director of Praktika NGO. “We would be happy if at least a third of our capacities were constantly loaded and we understood the production plans for a few more years,” she added.

Data published today by the Stockholm Peace Research Institute (SIPRI) showed that Ukraine became the largest arms importer in the last five years and was the fourth largest in the world between 2019 and 2023.

Since the start of Russia’s full-scale invasion in February 2022, some 30 countries have contributed to Ukraine’s arsenal, with the United States leading at 39 percent, followed by Germany at 14 percent and Poland at 13 percent.

However, the European Parliament noted that reports of military aid to Ukraine from allies often mask how they stimulate the defense industry of donor countries.

For example, “The Washington Post” reported that almost 90% of the $68 billion in military and related aid approved by the US Congress for Kyiv is spent in the US. As of 2022, the Ministry of Defense of Ukraine has purchased 350,000 units of ammunition in the European Union alone.

Citing sources in the Ukrainian defense industry, Brussels said that Kyiv had failed to convince its allies to buy Ukrainian equipment and insisted on buying foreign equipment, which is often more expensive.

Ukrainian arms manufacturers are also unable to sell their products abroad, as no export licenses have been issued since the beginning of the war two years ago.

The European Parliament also told how the General Staff of Ukraine informs the Ministry of Defense what equipment it needs, which always exceeds what is available, that is, the military and government officials have to determine priorities every month.

Even if the equipment it produces is necessary, a domestic manufacturer may not be on the priority list because of cost or if the product in question is not considered as important as missiles or drones.

The opening of Ukrainian weapons on foreign markets could solve some problems of domestic manufacturers, believes Serhiy Vysotskyi, vice president of the NAUDI association, which represents private arms manufacturers.

“We have to tell our partners that our manufacturers don’t have enough money, that we can cause inconvenience to Russia in the arms market, or that our allies will be able to buy our battle-tested equipment,” Vysotsky said.

The article was created with the support of Rador Radio Romania