Due to martial law in Ukraine, there is currently a de facto restriction on the export of weapons and dual-use goods. There are discrepancies between the positions of the state, which emphasizes national security, and businesses, which need to scale up for development. Due to the situation of uncertainty, many Ukrainian manufacturers are considering relocating production abroad. At the same time, Europe is interested in Ukraine's defense production capabilities.
That is why Ukraine needs a balanced and modern system that will simultaneously protect national security and promote the sustainable development of the defence industry.
Neither full liberalization of weapons and dual-use goods exports nor the continuation of indefinite export restrictions are effective solutions. Instead, it is necessary to create a system that would:
- Guarantee unconditional priority of supply to the Armed Forces of Ukraine;
- Allow selective, transparent export under control, coordinated with the EU.
- Strengthen control over the use of goods to ensure national security
These conclusions were reached by the team of Defence Industries Initiatives at the Economic Security Council of Ukraine (ESCU), having analysed Ukraine's export control system. Read more in the extended version of the study in the attached file.