Ukraine will Appropriate $7.5B for Missile Weapons Development Programs over the Next Decade

Missile weapons technologies will be the key focus of Ukraine's arms modernization effort until 2030
Missile weapons technologies will be the key focus of Ukraine's arms modernization effort until 2030

Ukrainian President Volodymyr Zelenskyy has signed executive order 372/2021 to enact the resolution of the National Security and Defense Council (NSDC) of Ukraine dated June 18, 2021, titled “On Modernization Strategy for the Ukrainian Defense Industry”, as reported by the Presidential Office. The Strategy highlights rockets and missile systems, smart weapons and electronic warfare technologies as key modernization priorities

The Strategy, which covers the years from 2021 to 2030, is split into three phases:

Neptune Anti-Ship Cruise Missile (ASCM) battery (launcher vehicle, command-and- control post vehicle, and transporter/transloader vehicle) seen at Ukraine’s 30th Independence Day parade rehearsal, August 18

Phase 1 (2021-22): Achievement of key modernization milestones established for individual defense industry sectors; development and enactment of an overarching modernization program for the national defense industrial sector.

Read more: DKKB Luch has Disclosed Countries Willing to Purchase its Vilkha MLRS, Neptune ASCM Systems
The Sapsan Ballistic Missile Launcher Vehicle seen during Ukraine’s 30th Independence Day parade preparation, Kyiv, August 18

Phase 2 (2023-24): Implementation of modernization projects and plans for individual defense industries.

Phase 3 (2025-30): development of innovative solutions aimed to reduce dependence on imported defense technology; proceeding on the way to diversification, technical modernization, and R&D and manufacturing capacity growth of defense industries.

The Ministry for Strategic Industries has been charged to evaluate and annually report the progress of the Strategy implementation.

Ukrainian defense industries have developed and implemented an upgrade to the Soviet-era 9М79-1 Tochka-U/Scarab B Tactical Ballistic Missile, with initial test launches held in July 2021

The Strategy is ultimately aimed to transform the country’s defense industrial sector into a highly competitive, technologically advanced, robust industry capable of meeting the needs of the country’s armed services.

The Strategy establishes six material modernization priorities:

Rocket/missile systems;

Precision-guided weapons;

Electronic Warfare technologies;

Air Defense systems;


Naval shipbuilding.

Typhoon-1 MLRS rocket has been developed to replace the aging inventory of 122-mm Soviet-era BM-21 Grad projectiles that are still fielded by Ukraine’s military, as well as for use with Ukraine-developed replacements for the Grad MLRS – the BM-21U “Verba” and BM-21UM “Berest”

The Strategy budget’s total commitment appropriations for missile weapons development projects amounts to over UAH 200 billion (approx USD 7.5 billion) over the next ten years, Armyinform has reported quoting NSDC Secretary Oleksiy Danylov as saying following the Council meeting. This includes UAH 3.3 billion to be appropriated by 2022, he said.

The Soviet-era SAM systems S-300, which still comprise the core of Ukraine’s air defense shield, need to be replaced with more advanced alternatives

Further, the Ukrainian Navy is to get additional funding of UAH 960 million for “acquisition of critically needed assets”, Mr Danylov said without specifying what assets he was referring to.

The Vilkha is the most capable MLRS weapon system currently in military use in Ukraine
Read more: DKKB Luch’s Precision Attack Missile RK-10 Ready to Begin Firing Tests this Summer