Ukraine’s President Volodymyr Zelenskyy told ministers to boost local arms from 40% to 50% within six months as part of a wartime strategy to strengthen Ukraine’s military self-reliance. He outlined the directive during a major speech before parliament, following the formal approval of a reshuffled Cabinet of Ministers on 17 July.

Zelenskyy tasks new cabinet with weapons overhaul

Addressing lawmakers and the new Cabinet, Zelenskyy noted:

“We are transforming the management of the defense sector and weapons production in such a way that, in six months, the share of specifically Ukrainian-made weapons available to our soldiers will significantly increase. Currently, about 40% of all weapons in the hands of our soldiers are made in Ukraine. In six months, it must be no less than 50%,” Zelenskyy said. 

He emphasized that boosting domestic arms production was essential in a global environment where attention to Russia-Ukraine’s war is being diluted by other crises.

Ministers told to audit defense deals

Zelenskyy also instructed the reshuffled cabinet to carry out a full audit of all existing defense-related agreements and commitments. These include international partnerships, production deals, memorandums, and resilience programs.

The president stressed that these agreements must be implemented “100% in the interests of Ukraine.” 

New prime minister confirmed

During the 17 July parliamentary session, lawmakers approved Zelenskyy’s nominee for prime minister, Yuliia Svyrydenko. Before the reshuffle, she served as Ukraine’s First Deputy Prime Minister and Minister of Economic Development and Trade.

Most ministers either retained their roles or were reassigned to new posts. The president called for immediate implementation of the new government program and said results must be delivered “daily.”

US officials have been briefed. Ukrainian Defense Minister Rustem Umerov reveals that during the visit of Keith Kellogg, the US presidential envoy, to Kyiv, the Ukrainian side shared alarming intelligence on the Kremlin’s plans.

The Ukrainian defense minister says that Commander-in-Chief of the Armed Forces of Ukraine, General Oleksandr Syrskyi, Chief of the General Staff, Major General Andrii Hnatov, Chief of the Defense Intelligence of Ukraine, Lieutenant General Kyrylo Budanov, and other intelligence officials held a briefing for the US side.

According to Umerov, Ukrainian officials explicitly warned their American counterparts: Russia is preparing for a large-scale war, not only against Ukraine, but also against the North Atlantic Alliance.

“They presented the operational situation, assessed enemy plans, and informed about Russia’s preparations for a broader-scale war,” the minister states.

Umerov describes the conversation with Kellogg as “substantive and candid,” focusing on achieving a lasting and just peace. Key topics included continued defense support, joint defense projects, and the localization of air defense and drone production in Ukraine and Europe.

He also notes that Ukraine has a “unique combat experience, especially in the field of drones, and we are ready to share it,” with the US, adding that some of the defense projects could be financed using frozen Russian assets.

Kyiv has secured record-breaking aid at the latest international summit in Italy. During the fourth and largest Recovery Conference in Rome, Ukraine signed nearly 200 agreements and memorandums totaling €11 billion in support, says First Deputy Prime Minister and Minister of Economy Yuliia Svyrydenko.

“The Ukraine Recovery Conference 2025 in Rome was the most extensive yet, both in terms of participants and the quality of agreements. Over 6,000 participants from 70 countries, around 200 agreements signed, worth approximately €11 billion,” Svyrydenko states.

One key outcome was the launch of the largest European investment fund for Ukraine’s reconstruction, with four countries and major European development banks pledging support.

Under the Ukraine Investment Framework, a new aid package worth over €2 billion was announced. The Netherlands committed an additional €500 million over 10 years, while Switzerland pledged close to €5 billion in assistance.

Defense industry cooperation was also a central focus of the summit, with discussions on localizing production, creating joint ventures, and sharing technologies.

Among the major industrial initiatives:

• NovaSklo signed an agreement to build a float glass plant
• Bila Tserkva industrial park will launch a new factory in cooperation with the Italian company Gualapack
• The Ukrainian Ministry of Economy signed a €188 million agreement with UNIDO for joint ventures with Japan

Ukraine also focused on new employment programs for women, initiatives to support female entrepreneurship, and commitments to modernize labor legislation.

The conference took place amid an escalation of Russian attacks on Ukraine. Recently, Moscow began launching over 700 drones in a single night, targeting Ukrainian cities. Therefore, the focus of the conference extended beyond reconstruction and included defense. 

Skyeton, the Ukrainian developer of the well-known long-range Raybird unmanned aerial vehicles, which have logged over 350,000 hours of combat flights, has become a target of technological espionage by unscrupulous European companies, The Telegraph reports. 

Roman Kniazhenko, the company’s CEO, reveals this. According to him, Western manufacturers visit “as guests” with alleged proposals for cooperation, but instead they are trying to steal production secrets. 

“Then they do beautiful pitch books, beautiful presentations about how they’re operating in Ukraine. But actually they’ve done just a couple of flights in Lviv [the western city more than 1,000km from the front line],” he says. 

Sometimes, Kniazhenko continues, he sees in their presentations, “literally my own words, without any change.”

He also emphasizes that while Ukrainian drones withstand real combat conditions, taking off even from puddles, European governments are spending billions on products that merely simulate combat effectiveness. 

“The big problem, after that, is that billions of dollars go to the companies that still don’t have any idea what they’re doing,” says Kniazhenko. 

Meanwhile, the Skyeton team, currently 500 people strong, works 24/7 developing drones for the toughest frontline conditions.

One example of its effectiveness was an operation in the Black Sea: Ukrainian special forces went missing at night, and a Raybird, with its lights on, was able to locate them in the dark waters.

“From one side, everything looks perfect for us. But it was like hell, a night of hell. When you are destroying something you feel good for a couple seconds. But when you know that you saved someone. Like, it’s a totally different feeling,” explains Kniazhenko. 

He also urges the West to fund the production of Ukrainian drones on its territory instead of starting a startup from scratch. Every country has the technologies it is good at, he stresses, adding that for Ukraine, it is clear that it is drones. 

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While Moscow is busy relentlessly attacking Ukraine, gas pipelines are blowing up inside Russia itself. According to Ukrainian Defense Intelligence sources, a powerful explosion occurred in the city of Langepas, located in the Khanty-Mansi Autonomous District, damaging a major section of a large trunk gas pipeline, UNIAN reports. 

This pipeline supplied gas to Russia’s defense industry facilities in the Chelyabinsk, Orenburg, and Sverdlovsk oblasts. The destroyed section had an annual throughput capacity of 2.6 billion cubic meters.

“With the price of 1,000 cubic meters of gas at around $350, the immediate damage alone amounts to at least $1.3 million,” the source emphasizes.

At the time of the explosion, about 4.1 million cubic meters of gas were flowing through the pipeline. Due to the difficult, swampy terrain, repairs will take at least a month. This will temporarily reduce supply by 25 million cubic meters, potentially leading to indirect losses of up to $76 million.

Local media writes that residents were “deeply concerned” by the “powerful bangs.” Emergency crews and repair teams quickly arrived at the scene.

Ukrainian intelligence reminds that “Western Siberia feeds Moscow,” but Siberians are dying on the front lines for the Kremlin’s interests.

“When locals begin to actively demand their own independence… such ‘mysterious explosions’ will stop,” the source notes.

Earlier, the Ukrainian Defense Intelligence identified dozens of Russian companies involved in producing the missile, most of which remain unsanctioned.

Its War & Sanctions platform published a list of over 70 Russian companies manufacturing Kh-101 components. These companies still have access to Western equipment and technology, enabling Russia to replenish its missile stockpiles and continue targeting civilian infrastructure.

If not for a Spanish company, Russia could have run out of new artillery barrels. Barcelona-based Forward Technical Trade SL supplied at least one radial forging machine to Russia, initially built by the Austrian firm Gesellschaft für Fertigungstechnik und Maschinenbau (GFM), the Insider reports. 

The equipment, valued at $1.3 million, weighs 110 tons and was manufactured in 1983. The transfer reportedly occurred via a Hong Kong-based intermediary, Scorpion’s Holding Group Limited.

GFM denies any direct business ties with either the Spanish supplier or the Hong Kong firm. However, the UK’s Royal United Services Institute (RUSI) confirms that GFM machines are crucial for barrel manufacturing in Russia — and that the Russian defense industry remains entirely dependent on them.

According to US-based expert Pavel Luzin, Russia cannot produce these forging machines domestically. Facing severe shortages, Russian forces have already begun “cannibalizing” old Soviet stockpiles, endangering frontline performance.

Earlier, Ukraine’s Defense Intelligence reported that the West still had not sanctioned 70 Russian companies behind the production of missiles that struck Kyiv’s largest children’s cancer hospital. 

The Okhmatdyt strike occurred the same day Indian Prime Minister Narendra Modi met with Russian President Vladimir Putin in Moscow on 8-9 July 2024, calling for a peaceful resolution to the war. While the two leaders spoke of peace, Russian missiles rained down across Ukraine, killing 47 people, including 33 in Kyiv.

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European firms stole drone secrets from a top Ukrainian manufacturer while falsely claiming their own UAVs were tested in combat, according to Skyeton CEO Roman Knyazhenko. He did not name the specific European companies allegedly involved. Skyeton’s flagship Raybird drone has flown over 350,000 combat hours, The Telegraph says. 

European drone makers accused of copying, then vanishing

In an interview with The Telegraph, Knyazhenko said some European manufacturers approached Skyeton under the pretense of cooperation. However, then they used the meetings to extract technical details and even plagiarized phrases from company materials.

“Sometimes I open presentations of other aircraft from Europe, and I see literally my own words, without any change,” he told the outlet.

He said firms conducted only a few drone flights far from the front line — such as in Lviv in western Ukraine — and still claimed their systems were “combat tested.” These misleading claims allowed them to secure government contracts worth billions, diverting funds from proven Ukrainian systems.

“They’re investing in technology that’s actually fake. In the end, you will have nothing,” Knyazhenko said, warning that the deception not only wastes money but also harms Ukraine’s war effort.

Skyeton says Raybird drones built under battlefield pressure

Skyeton, formerly focused on ultralight aircraft, now works directly with the Ukrainian army. CEO Roman Knyazhenko said roughly half the drone’s components have been replaced in recent years to enhance radar evasion and endurance. The system can reportedly fly 2,500 kilometers and stay airborne for up to 28 hours with various payloads. He added that pressure on engineers is extreme, with repairs often needed overnight to avoid leaving brigades without support.

“In peacetime, you would say a couple of weeks or a month. But right now, you have one night,” Knyazhenko said. “Because if you do not do it in one night, tomorrow the enemy will try and approach us and we will not have aircraft in the air, so we will have casualties.”

Poor foreign parts and legal limbo slow Ukrainian production

Skyeton says it had to start building more parts itself after receiving faulty imports. Knyazhenko cited one shipment of gimbal cameras where half didn’t work. Test logs showed they failed before leaving the factory, he said. The supplier denied responsibility. Legal action, Knyazhenko added, would take years — while frontline units went without equipment.

“Every day of delay will cost us millions,” Knyazhenko said, noting Skyeton’s strict government contracts and the constant demand from Ukrainian brigades.

Rapid evolution defines Ukraine’s drone edge

Skyeton says it constantly refines its drones for real combat conditions. Engineers, it claims, adjusted launch systems and designed UAVs that can take off from puddles within minutes. Knyazhenko said key technologies may become obsolete in two weeks.

“Three years here feels like 20 years in peace time,” he said.

He warned that visiting a Ukrainian factory doesn’t mean firms can replicate the work. “It’s the same story as building a BMW from scratch. It takes years,” he said.

In Foreign Affairs, former Biden officials Jon Finer and David Shimer said most countries — including the US — now lag behind Ukraine in drone warfare. Knyazhenko added that instead of rebuilding systems like the Raybird, Western countries should simply fund Ukrainian production abroad.

Ukraine is preparing to defend against Russia’s 1000 daily drones by mass-producing interceptor drones. Ukrainian President Volodymyr Zelenskyy says the technology is already proven—and now Kyiv is calling on international partners to help scale it up.

Russia plans mass drone attacks to destabilize Ukraine

During a press conference in Rome on 10 July, President Zelenskyy confirmed that Russia plans to launch 700 to 1,000 drones per day in an effort to pressure Ukrainian cities and exhaust the country’s defenses.

“They want to destabilize our society through long-lasting air raids,” Zelenskyy warned.

The President added that Ukraine “will respond,” stating:

“We will shoot down everything.”

Ukraine already has the tech—but needs the money

Zelenskyy announced that Ukraine’s scientists and engineers have developed effective interceptor drones capable of countering the Iranian-designed Shahed drones commonly used by Russia.

“We have found a solution as a country,” Zelenskyy said. “Scientists and engineers have found a solution. This is the key. We need finances. And we will raise it.”

The President emphasized that with adequate funding, Ukraine could mass-produce these drones and deploy them across the front.

Interceptors show better results than “Shahed cowboys”

Recently, Commander-in-Chief of the Armed Forces of Ukraine, Oleksandr Syrskyi, reported that the new interceptor drones already demonstrate a 70% success rate—nearly double the effectiveness of mobile fire teams.

However, Syrskyi noted that the interceptors still lack radar systems, and consistency is not yet guaranteed. Ukraine’s Unmanned Systems Forces stated the drones show good results, but “it is too early to talk about consistency.”

Unmanned Systems Commander Robert “Magyar” Brovdi recently cautioned about Russia’s 1000 daily drones in the near future: he said, Moscow may soon be capable of deploying more than 1,000 Shaheds per day. 

The United States has only about 25% of the Patriot missile interceptors it needs to meet Pentagon military plans, a shortage that led U.S. President Donald Trump's administration to pause a major transfer of weapons to Ukraine, the Guardian reported on July 8.

The decision to halt the delivery, made on July 2, followed an internal review showing low stockpiles of critical air defense systems. The depletion was largely due to recent U.S. operations in the Middle East, including the interception of Iranian missiles after strikes on the American Al Udeid airbase in Qatar, according to the Guardian.

According to officials familiar with the matter, the Pentagon's munitions tracker, used to measure the minimum supplies needed for U.S. war plans, showed Patriot interceptor levels had fallen below acceptable levels. That prompted concerns that sending more to Ukraine could put U.S. defense readiness at risk, the Guardian wrote.

The freeze reportedly affected Ukraine's two key arms transfer methods: drawdowns from Pentagon stockpiles and the Ukraine Security Assistance Initiative (USAI), through which the Defense Department orders new weapons from contractors.

Because U.S. orders take priority, Ukrainian requests for new weapons, including Patriot missiles, face years-long delays.

The pause came at a critical time for Kyiv, as Russia intensifies large-scale aerial attacks on Ukrainian cities. With limited options to acquire precision-guided and other key munitions, Ukrainian forces have increasingly relied on Western-supplied air defenses to counter the growing threat.

For its latest aid package, the U.S. had planned to send dozens of Patriot interceptors, along with Hellfire missiles, air-to-air Sparrows, GMLRS rockets, and anti-tank weapons, according to the Guardian.

NBC News reported on July 4 that U.S. Defense Secretary Pete Hegseth unilaterally halted a weapons shipment to Ukraine despite internal military assessments showing the aid would not compromise American military readiness.

The assessment concluded that while some munitions stockpiles, including precision weapons, were low, they had not fallen below critical thresholds.

Amid the ongoing questions over Washington's weapons pause, Trump has apparently promised to send 10 Patriot interceptors to Ukraine, Axios reported on July 8. Sources also told the Wall Street Journal (WSJ) that Trump claimed he wasn't behind the decision to halt arms to Kyiv in a recent phone call with President Volodymyr Zelensky.

How to enter Ukraine’s defense market: A short guide for foreign companies

Editor’s Note: The opinions expressed in the op-ed section are those of the authors and do not purport to reflect the views of the Kyiv Independent. For editorial coverage of Ukraine’s weapons procurement, the country’s Defense Ministry and the scandal-ridden Defense Procurement Agency click on the links

The Kyiv IndependentVladyslav Bandrovsky

Denmark’s Minister of Economy, Stefanie Lose, announced that aid to Ukraine will continue beyond 2026. The European Union is already discussing financial support for Ukraine beyond that year, as the situation with Russian aggression remains extremely challenging, UkrInform reports. 

Lose says that the funding will be available until 2026, but she understands resources will be needed for the next period.

Commenting on the informal dinner of EU ministers of economy and finance held on Monday ahead of the EU Council meeting, where financial aid for Ukraine beyond 2026 was discussed, the official stated there was a “very good discussion” during which the parties explored “options under which Ukraine can receive everything it needs.”

The official highlights that strong solidarity with Ukraine exists within the European family and that aid will remain “at the very top of the agenda” throughout Denmark’s presidency.

Meanwhile, the European Commission is urgently discussing with the EU and G7 countries how to prevent a major financial shortfall in Ukraine in 2025. The projected gap in external funding could reach $19 billion, amid declining US support and no immediate prospects for a peace deal with Russia.

In 2024, Denmark introduced a unique military support mechanism for Ukraine — the Danish model. It involves direct funding and procurement of weapons from Ukrainian domestic defense enterprises. This approach strengthens Ukraine’s defense industry and provides the Armed Forces with modern NATO-standard equipment.

Russian weapons supply failure confirmed by courts is at the center of an investigation by The Insider, which analyzed arbitration rulings involving nine defense contractors. The findings reveal that sanctions are not just symbolic—they are dismantling the Kremlin’s war machine from within.

Fake parts, failed deliveries, and smuggling schemes

In case after case, Russian manufacturers admitted they could not fulfill military contracts due to the unavailability of sanctioned components. A shipment of programmable chips from Azimut LLC to NTC Elins was rejected after the Chinese replacements failed to function with the Ministry of Defense’s software. In court, Elins declared the chips unusable, citing their incompatibility.

Zaslon JSC, tied to United Russia’s Andrei Turchak, claimed a batch of microchips delivered under contract showed signs of tampering. The company’s technical experts pointed to “numerous scratches” consistent with reballing – tampering the microchips for the reuse. The court agreed and dismissed the supplier’s claim.

Russian courts expose offshore arms trafficking routes

One lawsuit revealed that Northern Star LLC imported banned electronics via ARP Investment, a firm registered in the British Virgin Islands. The operation routed shipments from Chinese firms under European branding. The court documents directly confirmed that Northern Star was supplying these goods for Russia’s Ministry of Defense.

The choice of the BVI—a British Overseas Territory—made the scheme unusually risky. UK authorities have access to its corporate registry, which means the real beneficiaries of such supply chains can be easily identified.

Drone development stalls as local components fail

NaukaSoft was tasked with delivering a power supply for SES-7000-NS drones. The supplier couldn’t manufacture key connectors—once a Soviet strength—leading to court-ordered penalties. Without access to lighter imported equivalents, the company failed to meet even basic technical specifications.

Shipbuilding delayed by failed sonar delivery

The Amur Shipbuilding Plant sued the Priboy Plant after it failed to deliver the Zarya-2 sonar system. The system, essential to the corvettes Grozny and Bravy, relied on components banned under EU sanctions. Priboy admitted its suppliers could not fulfill the order, and its efforts to use “domestic” replacements failed when the Russian-made parts were found to contain foreign chips themselves.

Explore further

Forbes: Trump can’t stop the war with words — but he can with Russian money

Western manufacturers halt shipments after spotting deception

One legal dispute showed how a British manufacturer canceled delivery of specialized maritime communication modules after detecting at least ten conflicting orders—all designed to hide the Russian military end user.

“Since the end user of the product was the plaintiff,” the ruling states, the supplier “was unable to provide the documentation requested by the manufacturer.”

The module was for NII Elektropribor, which builds navigation and gyroscopy systems for military vessels.

Banking shutdowns block import routes in Central Asia and Türkiye

Technolink LLC’s attempts to import lab equipment were thwarted when banks in Kyrgyzstan and Türkiye closed accounts linked to suspect shipments. Courts revealed how one of the supplier’s Kyrgyz partners had its account shut down even before a contract was signed. In Türkiye, DenizBank closed accounts entirely.

Uzbek banks rejected payments based on customs commodity codes, while Kyrgyz authorities demanded import licenses. The courts ruled that these shutdowns were predictable under current sanctions conditions and rejected claims of force majeure.

Swiss sanctions freeze space systems deliveries

In another case, Russian Space Systems was left without frequency generators after Swiss company AnaPico AG halted deliveries. AnaPico’s Russian partner admitted in court it could no longer fulfill contracts after Swiss authorities intervened. Russian courts terminated the contract.

Explore further

Czechia to probe firms accused of arming Russia

Domestic replacements fall short—even when available

The Russian National Guard refused to accept an anti-drone system after the Ford Transit chassis was replaced with a GAZelle, citing contract violations. The supplier blamed foreign automakers’ exit from Russia. The court ruled that the supplier had no alternative and upheld the replacement.

Courts confirm systemic failure in Russian weapons supply

Across every case, Russian arbitration courts exposed a common thread: the country’s military industry cannot operate without sanctioned foreign tech. None of the failures involved personal sanctions—only export controls on dual-use, non-consumer goods.

The Insider’s investigation concludes that Russia’s efforts to smuggle, substitute, or manufacture its way around sanctions fail. The courts have documented the consequences: stalled ships, grounded drones, rejected deliveries, and a defense sector in crisis.

“The conclusion is clearly supported by Russian court rulings: sanctions are having a material impact on the work of Russia’s military-industrial complex,” The Insider’s investigation wrote.

Kyiv and Copenhagen signed a landmark agreement on July 4 that allows Ukrainian defense companies to open production facilities in Denmark, Strategic Industries Minister Herman Smetanin announced.

"This is a unique case of international cooperation for the Ukrainian defense industry," Smetanin wrote on Facebook, following the signing ceremony in Copenhagen alongside Danish Industry Minister Morten Bodskov.

The deal marks the first time Ukrainian defense technologies will be exported abroad specifically for supply to Ukraine's own Armed Forces, he said.

A year ago, Denmark became the first country to fund weapons production by Ukrainian manufacturers. Now, it has become the first to host Ukrainian arms production lines on its territory, Smetanin added.

"Today, it has become the first country to which Ukraine exports its own defense technologies for production, scaling, and supply to the Ukrainian army," he said.

The agreement is part of Ukraine's broader effort to internationalize its defense production. President Volodymyr Zelensky announced on June 21 that Kyiv would soon begin exporting defense technologies and opening weapons production lines in partner countries.

To scale up domestic and international production, Zelensky has called on foreign partners to finance new projects and match Ukraine's rapidly growing manufacturing capacity.

Denmark has been a key backer of Ukraine since the start of Russia's full-scale invasion in 2022. In February 2024, Copenhagen signed a 10-year bilateral security agreement with Kyiv, pledging long-term defense cooperation until Ukraine secures NATO membership.

‘Nothing but terror and murder’ — Russia pounds Kyiv with record overnight drone, missile attack, 1 dead, 23 injured

Fires broke out across the city as Russia attacked the capital overnight on July 4. At least 23 people have been injured, with 14 of the victims hospitalized.

The Kyiv IndependentKateryna Hodunova

A Ukrainian attack on 4 July targeted a key Russian defense facility in the city of Azov, Rostov Oblast, about 200 km from the frontline. The Azov Optic-Mechanical Plant, which manufactures critical electronic components for Russian missiles and armored vehicles, was hit by multiple drones in a bold daylight assault. The extent of the damage is currently unknown.

Morning drone strike hits Azov military facility

According to Militarnyi, the attack occurred on the morning of 4 July when Ukrainian strike drones launched an assault on the Azov Optic-Mechanical Plant, part of Russia’s Tactical Missile Armament Corporation.

Social media footage showed fixed-wing UAVs diving toward the site, followed by explosions and visible smoke. One of the drones bore a delta-wing “Shahed-like” structure, suggesting the use of an unknown new UAV model.

The original Shaheds are Iranian-designed long-range explosive drones that Russia uses in its daily attacks on Ukrainian cities. They are easily recognizable by their rounded nose and triangular, delta-shaped wings.

Witness footage and drone type

Ukrainian Telegram channel Exilenova+ posted an image, showing a delta-wing drone with the caption:

“Rostov. Likely a new UAV from Ukraine’s Defense Forces.”

Later, the same channel shared videos capturing different UAV types, including a well-known Ukrainian drone and a delta-wing aircraft believed to be a new model.

“Azov was attacked by several types of birds,” Exilenova+ commented. “We see an FP-1 pass over, and then, probably, the strike of that same ‘new’ drone.”

Militarnyi noted that “Delta-wing drones are fairly common, but they are rarely used by those attacking the aggressor country. What specific model was used remains unknown at this time.”

At least 10 drones

Russian authorities initially claimed their air defense forces intercepted the drones. Russian Telegram channel Astra reported that at least ten UAVs or their debris “fell” on the factory grounds. The local emergency services confirmed the site was impacted on 4 July.

Yury Slyusar, acting governor of Rostov Oblast, stated that evacuation efforts were underway due to widespread damage from UAV debris, claiming that the attack damaged residential buildings. While initial reports suggested no injuries, Slyusar had also stated that one woman killed in the overnight attack.

The Russian Ministry of Defense claimed  that air defenses downed 26 drones over Rostov Oblast overnight on 4 July. In Shakhty, a UAV strike allegedly caused a transformer substation to shut down, leaving around 2,000 homes — with more than 6,000 residents — without power. Buildings near the substation also suffered window damage.

Explore further

Ukrainian drones strike Russian plant making Shahed warheads near Moscow

Targeted facility and its military role

The Azov Optic-Mechanical Plant is a core producer of high-precision electronics, optical, and thermal imaging equipment for Russia’s military. As detailed by Exilenova+, it manufactures lenses, prisms, radar homing heads, and control systems used in tanks, infantry fighting vehicles, naval systems, and aircraft.

Ukraine’s Center for Countering Disinformation, under the National Security and Defense Council, confirmed the strike. Its head, Andrii Kovalenko, emphasized that the plant produces “eyes” for Russian military hardware, including fire control systems and rangefinders. He stated,

“Despite a difficult night (a reference to Russia’s massive missile and drone attack on Kyiv, – Ed.), there is good news. In Russia, targets were hit in Moscow and Rostov oblasts. The Azov Optic-Mechanical Plant was struck.”

The facility has been under US sanctions since March 2022 due to its role in the Russian war effort. It is also sanctioned by Canada, Switzerland, the European Union, New Zealand, and Ukraine. The Ukrainian Defense Intelligence’s War & Sanctions project has identified foreign-origin components at the site, including machinery from Taiwan, South Korea, and Switzerland.

Skyeton Prevail Solutions, a joint venture between Ukrainian drone manufacturer Skyeton and U.K.-based defense company Prevail Solutions, will manufacture and supply Raybird drones in the U.K., the two companies announced on July 2.

"Skyeton — a Ukrainian unmanned aircraft systems company with 19 years of engineering pedigree, and Prevail Partners — a leading U.K. defense and security company, announced a joint venture to fast-track the volume manufacture, supply, and support for the integration of its best-in-class drone into U.K. military applications," a statement by the two companies said.

Ukraine has developed drones that have proven to be effective amid the onset of Russia's full-scale war against Ukraine in February 2022 and Russia's initial invasion of Ukraine in 2014.

President Volodymyr Zelensky and U.K. Prime Minister Keir Starmer met in London on June 23, where the two leaders agreed to an "industrial military co-production agreement."

"The joint venture will scale the availability of Raybird with new manufacturing in the U.K. for both deployment in Ukraine and provide the necessary integration expertise from Prevail Partners for U.K. and other Western militaries," the statement said.

U.K. lawmaker Iain Duncan Smith described the move as an "important step" for U.K. drone production.

Skyeton says its Raybird drone has over 350,000 flight hours and is responsible for billions of dollars in Russian losses.

Ukraine has relied on drones to meet its own defense needs, as foreign military aid has fallen short in supplying necessary weapons and air defenses.

Ukraine’s new interceptor UAVs are starting to knock Russia’s long-range Shahed drones out of the sky

Russia’s Shahed drone swarms are pummeling Ukraine on a nightly basis, inflicting ever more death and destruction in cities that had managed to carve out some sense of normalcy amid wartime. Civilian alarm has grown. With traditional air defense stockpiles running low, the government is banking on newly created

The Kyiv IndependentKollen Post

Ukraine is launching a joint weapons production program with members of the Ukraine Defense Contact Group (UDCG), or Ramstein summit participants, Defense Minister Rustem Umerov announced on July 1.

The UDCG was formed in 2022 under former U.S. President Joe Biden to coordinate military assistance for Ukraine among about 50 of Kyiv's allies.

As part of a new joint production program, new factories and weapons manufacturing facilities will be built in Ukraine and abroad, Umerov said in a social media post. The international sites will be UDCG member countries participating in the Ramstein-format summit.

New legal and tax regulations will also be put in place for Ukrainian weapons manufacturers, facilitating the construction of new sites and allowing them to rapidly scale up production, Umerov said.

The Defense Ministry on July 1 joined the Verkhovna Rada (Ukraine's parliament) Finance, Tax, and Customs Committee in presenting four draft laws regarding domestic weapons production "aimed at developing the industry." The legislation introduces amendments to tax, customs, and budget regulations, as well as the Criminal Code.

The first vote on the new legislative package is expected to take place in a month, according to Umerov.  

"This is a new type of military-industrial cooperation, where Ukraine is an equal partner and player in the global defense market," he said.

As Ukraine scales up domestic defense production, President Volodymyr Zelensky has been lobbying foreign partners to provide funding to help match its manufacturing capacity. At the NATO summit in The Hague, Ukraine signed agreements on joint weapons production with the U.K. and Denmark. Norway also pledged to jointly develop air defense systems with Kyiv.

The future of modern warfare is being built in Ukraine at this moment. New equipment is being developed and deployed in Ukraine at a significantly lower cost and in a remarkably shorter time compared to almost anywhere else in the world, Bloomberg reports. 

Ground drones and unmanned aerial vehicles (UAVs), which have been used on a large scale for the first time in the war with Russia, have sparked a revolution on the battlefield.

Russian forces under Russian President Vladimir Putin’s command have deployed nearly 695,000 soldiers along the front and continue to bombard civilian populations with missiles and drones. The main weapon against the invaders has become the adaptability of Ukraine’s defense industry.

A striking example is the modular robotic platform TerMIT, which serves both for transportation and clearing pathways. It is equipped with Starlink satellite internet and is already in use by more than 20 military units.

TenCore, a company that started in February 2024 with five employees, now has 175 workers and projects $80 million in revenue for 2025, due to producing over 2,000 units of equipment. Investors sought to buy the company, but TenCore refused.

Also, over 70% of Russian equipment has been destroyed by Ukrainian drones, making the country one of the most powerful drone armies in the world.

Russia, in response, is ramping up drone production and using technologies that make them harder to jam. While Moscow scales up production, Ukraine bets on innovation and creativity — and this could change the course of the war. Whichever model prevails will decide the outcome of the war.

The biggest obstacle for Ukraine’s defense industry is funding. Despite a defense budget of $12 billion, Ukraine’s production potential is three times greater than it is today. Kyiv seeks to attract more investment from its Western allies, including from the European new project SAFE, which envisions $150 billion for defense tech funding. 

Ukraine will produce weapons together with allies at home and abroad. Ukraine’s Defense Minister Rustem Umerov has announced the launch of a joint weapons production program with countries participating in the Ramstein format.

The program envisions creating new manufacturing capacities both within Ukraine and in partner countries.

Ukrainian manufacturers will receive a special legal and tax regime, enabling rapid scaling and modernization of defense production.

Until the war ends, all products from these enterprises will be supplied directly to the Armed Forces of Ukraine.

“This is a new type of military-industrial cooperation, where Ukraine is an equal partner and player on the global defense market,” Umerov emphasizes.

To implement the initiative, the Ministry of Defense, together with the Ukrainian Parliament’s Committee on Finance, Tax, and Customs Policy, has already presented key provisions of four draft laws to defense enterprises. The first vote in the parliament is expected to be conducted this month.

Earlier, Kyiv announced its air and missile defense systems would be integrated into the high-tech infrastructure of the Norwegian-American NASAMS complex. 

NASAMS can destroy drones, aircraft, helicopters, cruise missiles, and ballistic targets at medium and low altitudes in all weather conditions.

On 1 July 2025, Ukrainian strike drones carried out a major long-range attack on Russian military infrastructure, striking the Kupol Electromechanical Plant in Izhevsk, about 1,400 kilometers from Ukraine. The facility is a major site for the production of Tor air defense systems and combat UAVs.

Ukrainian Liutyi drones target Kupol

Multiple clips from Izhevsk, shared by local residents, confirm that Ukrainian Liutyi drones struck the Kupol Electromechanical Plant in the early morning of 1 July.

Eyewitness footage captured explosions and subsequent fires at the site. Ukrainian Telegram channels Exilenova+ and CyberBoroshno geolocated the strike site based on available videos. Their analysis confirmed that the main facility of Kupol had been hit.

Exilenova+ and Ukraine Context Telegram channels shared videos from Izhevsk showing a Liutyi flyover, strikes, and the aftermath, including fires at the facility.

Based on footage, Telegram channels Exilenova+ and CyberBoroshno confirmed that the Kupol plant was the target of the attack. pic.twitter.com/sC1xOAgUiw

— Euromaidan Press (@EuromaidanPress) July 1, 2025

Videos reveal that Russian personnel attempted to shoot down incoming UAVs using small arms fire.

This long-range attack inside Russia occurred simultaneously with Ukrainian strikes in occupied Luhansk, Donetsk, and Crimea:

Explore further

Ukrainian drones just lit up Russian-occupied Crimea, Donetsk, and Luhansk — here’s how (video)

Astra confirms strike and location

According to the Russian news Telegram channel Astra, at least two drones attacked the Kupol factory five minutes apart. The videos showed a high chimney characteristic of the plant’s premises and a tall residential building at 7A 30 Let Pobedy Street, located one block away from the facility.

Telegram channel Ukraine Context shared footage showing a flyover of the Ukrainian Liutyi drones in Izhevsk, and the strikes on the military plant.

One of the clips features the sounds of secondary detonations before a larger explosion. pic.twitter.com/VnU7yk61UM

— Euromaidan Press (@EuromaidanPress) July 1, 2025

Kupol’s strategic role and sanctions

Founded in 1957, Kupol is one of Russia’s key defense enterprises. According to its director Fanil Ziyatdinov, as cited by Rossiyskaya Gazeta in 2023, the factory also produces Samam-M1 and Adjutant training complexes and services them. In July 2023, Reuters reported that Kupol began manufacturing Garpiya-A1 strike drones using Chinese-made components.

Due to its role in supporting Russia’s war effort, the European Union added Kupol to its sanctions list on 16 December 2022. The US, Canada, Ukraine, and Switzerland have imposed similar sanctions, citing its role in supplying weapons to the Russian military.

This was the second drone strike on Kupol since the beginning of Russia’s full-scale invasion. The first attack occurred in November 2024, as Euromaidan Press reported.

Simultaneous drone attacks across Russia

In the same early hours of 1 July, other parts of Russia came under drone attack. According to regional governors and Russian propagandist media, drones hit Rostov and Saratov oblasts.

Astra reported explosions in Saratov and Engels, and a temporary suspension of airport operations in Saratov.

Rosaviatsia spokesperson Artem Korenyako stated that airports in Ulyanovsk, Kazan, and Nizhnekamsk were also closed.

Acting governor of Rostov Oblast Yurii Sliusar claimed air defense downed drones over several areas, including Rostov-on-Don, Taganrog, Novoshakhtinsk, and multiple districts.

The Russian Ministry of Defense claimed air defenses had shot down 60 drones overnight. Reportedly, 17 were downed over Crimea, 16 over Rostov Oblast, 11 over the Azov Sea, 5 over Kursk Oblast, 4 over Saratov Oblast, and others over Voronezh and Oryol oblasts.

Missile threat declared deep inside Russia

According to RIA Novosti, Astrakhan airport imposed temporary flight restrictions.

A Russian military airfield is located just two kilometers from Akhtubinsk. The site was last attacked in June 2024, when Ukrainian intelligence reported strikes on two Su-57 fighter jets — the first ever confirmed hit on these aircraft.

The missile alert was lifted at 00:18 local time, though authorities warned of a continued threat of “provocations by the enemy.”

Ukraine's defense technology cluster Brave1 has launched the development of anti-drone rifle rounds, significantly increasing the chances of hitting fast-moving aerial targets, the group said in a statement on June 30.

According to Brave1, the ammunition appears similar to standard rounds used in automatic rifles but features a specially designed warhead that increases the likelihood of shooting down FPV (first-person-view) drones or commercial quadcopters such as the DJI Mavic before they strike.

These types of drones are being used extensively on the battlefield by both Ukrainian and Russian forces. The cost-effective FPV drones have proven highly effective in destroying expensive military equipment.

The manufacturer has already codified the new rounds according to NATO standards, Brave1 said. The goal is to supply every infantry soldier with a magazine of specialized ammunition for use in case of aerial threats.

"These rounds that significantly improve the chances of hitting a moving target are a new development by Brave1," Digital Transformation Minister Mykhailo Fedorov said.

"Our common goal is to ensure that every infantryman has a magazine of such ammunition and can equip his rifle with it in case of an air threat."

Ukraine continues to scale up its drone warfare capabilities. The Defense Ministry said on March 10 that it plans to purchase 4.5 million FPV drones in 2025 at a cost exceeding Hr 110 billion ($2.6 billion), with most of the funds allocated through the Defense Procurement Agency.

President Volodymyr Zelensky has set a goal of producing at least 30,000 long-range drones in 2025.

Tired of military aid delays, Ukraine has designed its own ballistic missile — and it’s already in mass-production

Ukraine announced on June 13 that its short-range Sapsan ballistic missile would go into mass production, a major development in Kyiv’s ongoing efforts to domestically produce the weapons it needs to fight Russia’s full-scale invasion. As Ukraine faces growing challenges in securing weapons from Western partners, and Russia continues launching

The Kyiv IndependentYuliia Taradiuk

President Volodymyr Zelensky and German Foreign Minister Johann Wadephul met in Kyiv on June 30, where the two leaders discussed Germany supplying additional IRIS-T air defense systems, joint weapons production, and strengthening sanctions against Russia, Zelensky said.

Wadephul earlier said Germany is working with its defense industry, European allies, and the U.S. to secure more air defense systems for Ukraine.

"We are going down every path available... The German defense industry is trying to expand its capacity. We're speaking with our European partners, and I believe we must also move forward with the United States," he said.

Zelensky met with executives of German defense companies alongside Wadephul during the visit to Ukraine's capital.

"We discussed sanctions pressure on Russia, the potential for supplying new IRIS-T systems, and joint weapons production — both in Ukraine and in Germany," Zelensky said in a post to social media.

Zelensky noted Germany signalled it believes that Ukraine's future is in NATO amid Russia's war against Ukraine.

"We will continue to develop relevant military hubs and increase the presence of German companies in Ukraine. We had an in-depth discussion on interceptor drones. I am grateful for the willingness to help," Zelensky said.

Earlier in the visit, Wadephul noted that he remains in close contact with German Defense Minister Boris Pistorius to assess whether existing systems from Germany's own stockpiles can be redirected to Ukraine.

Loss of Ukraine lithium deposit to Russia won’t impact minerals deal, says investor

Russian troops have taken over the site of one of Ukraine’s most valuable lithium deposits near the village of Shevchenko, Donetsk Oblast, as Russia ramps up its summer offensive. While Ukrainian troops control territories near the site, the deposit is now under Russian occupation, Roman Pohorilyi, founder of open-source

The Kyiv IndependentDominic Culverwell

Ukrainian air and missile defense systems will be integrated into the high-tech infrastructure of the Norwegian-American NASAMS complex. Ukrainian Defense Industry JSC says it will become a breakthrough in the country’s air defense by combining domestic developments with powerful Western weapons. 

NASAMS can destroy drones, aircraft, helicopters, cruise missiles, and ballistic targets at medium and low altitudes in all weather conditions. Its range reaches up to 180 km, and its altitude ceiling is 21 km.

The agreement between the companies includes integrating Ukrainian short- and medium-range air defense systems into the NASAMS infrastructure. In particular, the parties agreed that Ukrainian systems will operate in conjunction with Norwegian command and control modules.

In January, Ukrainian Defense Minister Rustem Umerov announced the beginning of the expanded cooperation with Kongsberg. Ukrainian representatives and the team of the company held a meeting on the joint project. It also addressed anti-drone systems and the possibility of localizing their production in Ukraine, along with the development of maritime capabilities.

Kyiv’s battle-proven weapons may play a key role in strengthening Europe’s defense capabilities. The Ukrainian Defense Ministry reports that Kyiv will cooperate with the European Union under the SAFE defense initiative, with a focus on producing drones, ammunition, and missiles. 

The announcement was made by Ukraine’s First Deputy Defense Minister Serhii Boiev at a meeting of the EU’s Operational Defense Readiness Task Force in Brussels.

“Ukraine has high-quality, battle-tested weapons. But we still need modern European arms… We are ready for mutually beneficial cooperation,” Boiev stated.

The Ukrainian delegation presented several projects eligible for SAFE funding, focusing on strengthening Ukraine’s defense and integrating its defense industry into the European ecosystem. These include long-term contracts extending through 2030.

EU member states also shared proposals related to UAVs, aviation, and ground-based systems, showing particular interest in Ukraine’s drone and missile production capabilities.

SAFE was launched to support joint procurement, expand defense production, and address critical military shortfalls exposed by Russia’s all-out war against Ukraine. The program aims to boost the EU’s defense readiness and reduce dependence on external arms suppliers.

NATO's increased defense spending will lead to the "collapse" of the alliance, Russian Foreign Minister Sergei Lavrov said on June 30, despite Russian officials recently warning that Moscow's own military expenditure is driving the country towards recession.

Lavrov's comments come after NATO leaders last week approved a new defense spending benchmark, committing members to spend at least 5% of GDP on defense and security-related expenditures by 2035, a goal long pushed by the U.S. and endorsed by NATO Secretary General Mark Rutte.

The week previously, and in a rare public sign that all is not well in Russia, two high-ranking Moscow officials issued separate warnings about the state of the country's economy.

Russian Central Bank Governor Elvira Nabiullina and Economy Minister Maxim Reshetnikov both highlighted that amid the Kremlin's full-scale war against Ukraine, the tools Moscow once relied on to maintain wartime growth are nearly exhausted.

Polish Foreign Minister Radoslaw Sikorski on June 26 said an arms race between Russia and NATO could lead to Russian President Vladimir Putin's downfall.

"Since (Polish Foreign Minister Radoslaw Sikorski) is such a predictor, he probably foresees that a catastrophic increase in the budget of NATO countries, according to my estimates, will also lead to the collapse of this organization," Lavrov reportedly said.

Putin last week announced that Moscow plans to cut its military expenditure beginning next year, in a rebuke of NATO members' plans to increase defense spending to 5% of GDP.

"We are planning to reduce defence spending. For us, next year and the year after, over the next three-year period, we are planning for this," Putin said, though he did not provide concrete details.

"Europe is thinking about how to increase its spending, on the contrary. So, who is preparing for some kind of aggressive actions? Us or them?"

Western officials and analysts point to Russia's surging military expenditures amid its ongoing full-scale invasion of Ukraine. In 2024, Russia's defense budget reportedly rose 42% in real terms, reaching $462 billion, surpassing the combined spending of all European nations, according to the International Institute for Strategic Studies.

NATO allies have cited Russia's military buildup, sabotage campaigns, and continued aggression against Ukraine as reasons to accelerate defense investments. Rutte warned that Russia could rebuild its military capacity to threaten NATO territory within five years, urging members to act with urgency.

As Ukraine bleeds, Western opera welcomes back pro-Putin Russian singer Anna Netrebko

More than three years into Russia’s full-scale war against Ukraine, many Western cultural institutions that had distanced themselves from Russian artists as a gesture of solidarity with Ukraine are now reversing course. The U.K.’s Royal Ballet and Opera House announced on June 23 that its 2025-2026 cinema

The Kyiv IndependentKate Tsurkan

At a press conference last week, Ukrainian President Volodymyr Zelenskyy stated that Russia continues to receive machine tools from abroad, naming eight Czech companies among the suppliers. Czech officials responded with claims of ignorance, but an investigation by a Russian outlet, The Insider, found at least twelve such firms had equipment sent to Russia during 2023 and 2024.

Zelenskyy’s remarks prompt official Czech reaction

Speaking on 21 June 2025, Zelenskyy alleged that the Russian defense industry is still being supplied with foreign machine tools, singling out Czech companies. Czech Foreign Minister Jan Lipavský replied that he does not know which companies are involved.

Meanwhile, Czech Minister for Industry and Trade Lukáš Vlček promised to investigate the possible involvement of Czech businesses in supplying Russia’s defense industry. Minister for European Affairs Martin Dvořák acknowledged that Zelenskyy “might be right” and added that the possibility of Czech companies bypassing sanctions “would not surprise” him.

12 Czech companies exported machine tools to Russia

An investigation published by The Insider on 25 June revealed that at least 12 Czech companies exported machine tools into Russia in 2023 and 2024, often through countries such as Estonia, Serbia, Türkiye, and Latvia. Based on Russian customs data, Czech machinery worth $18 million entered Russia in 2023, and $12 million in 2024. The bulk of this trade—around $8 million—came from just three manufacturers: Šmeral Brno, Varnsdorf, and TAJMAC-ZPS.

Sanction bypasses and subsidiaries used for delivery

According to The Insider, Czech tools reached Russia through indirect routes. One Russian recipient, JSC Pilous, 70% owned by Pilous-Pásové Pily, got bandsaws shipped via Serbia. Šmeral Brno still publicly lists Russia as a key export destination.

Czech machines linked to Russian drone hub

One delivery followed by The Insider went to a firm near a Shahed drone site in Russia’s Alabuga zone. The recipient, 60% owned by Czech firm Jihostroj, got a rack press built by its parent for use in gear pump production.

Russia uses the Iranian-designed Shahed drones, produced in Tatarstan’s Alabuga for daily attacks against Ukrainian cities.

Additional exporters active in 2023–2024

The Insider also identified five more Czech firms—N.Ko, Prestar, Tachtech, Stroje Zeman Trade, and Permico—that supplied metalworking equipment to Russia during 2023–2024. In total, their shipments were valued at roughly $500,000. The deliveries included pipe-cutting tools applicable to the energy sector. Several buyers were obscure entities, likely retail or specialized resellers. Among them, OOO “Takhtech Rus,” the Russian branch of Czech firm Tachtech, remains openly active in Russia as of 2025.

Permico s.r.o., another exporter, shipped a South Korean-made Doosan CNC lathe to Russia in 2024. The company denied having traded with Russia, but its public materials indicate it buys and sells used machinery across third countries.

Canada is evaluating a possible defense co-production agreement with Ukraine that could include manufacturing military equipment and drones together, according to Canadian Defense Minister David McGuinty.

Production collaboration under review

Speaking to reporters on 26 June, McGuinty confirmed that the idea of how Canada could partner with Ukraine in military production is under “active consideration” by the Department of National Defense and the Canadian Armed Forces, The Globe and Mail reports. The government is looking to models already adopted by countries like Denmark and France, which have signed similar agreements with Kyiv.

“The Ukrainians have made huge strides and advances in drone technology, something that we’re actively looking at,” McGuinty said, adding that potential industrial benefits for Canadian companies are also being considered.

McGuinty explained that Ottawa is exploring two primary options: financing weapons production inside Ukraine or manufacturing equipment in Canada. The final decision would depend on what mechanism would bring the most value to both countries.

McGuinty’s European tour and defense spending talks

McGuinty’s statements came at the end of his European visit, his first as Defense Minister to Latvia. Approximately 1,900 Canadian Armed Forces members are stationed in Latvia as part of NATO’s ongoing deterrence mission.

He also attended the NATO summit in The Hague this week, where Prime Minister Mark Carney made a significant announcement: Canada will implement its largest defense budget increase since the Second World War, aiming to double military spending by 2035.

McGuinty said the new Canada-EU procurement partnership could allow Ottawa to access loans from a European pool worth approximately $240-billion. These loans are backed by the EU budget and would enable Canada to take part in bulk equipment purchases alongside European countries, allowing savings for Canadian taxpayers.

Lithuania has signed a memorandum with American defense firm Northrop Grumman and Norwegian Nammo to secure the production of ammunition amid Russia's war against Ukraine, the Lithuanian Defense Ministry announced on June 24.

"By strengthening our national defense industry, we are investing in both technological capabilities and Lithuania’s resilience to crises. This Memorandum of Understanding will allow us to better equip our armed forces and help Lithuania become an important link in international supply chains," Lithuanian Vice Minister of National Defense Loreta Maskalioviene said.

"The investment and expertise of our allies... will significantly contribute to strengthening of the national defense industry and security not only in Lithuania, but also in the entire region, including Ukraine. The development of the defense industry and investment in production must come without delay," Lithuanian Finance Minister Rimantas Sadzius said.

Russia's full-scale war against Ukraine has sparked concern in Europe that Russia could attack NATO's eastern flank, including Poland, the Baltic countries, and Finland.

Ukrainian intelligence has evidence that Russia is preparing new military operations in Europe, President Volodymyr Zelensky said on June 22.

The partnership will be implemented at the state-owned Giraite Armament Factory, the announcement said, adding that the factory is set to be integrated into Northrop Grumman’s international supply chains.

Northrop Grumman will supply ammunition produced in the Lithuanian defense factory to the international market.

Nammo, as a subcontractor, will provide Northrop Grumman with the 35 mm ammunition production technology.

"It will enhance national strategic autonomy in defense and deepen partnerships with NATO allies, the United States, and Norway. The planned production of ammunition is of critical importance to the Lithuanian Armed Forces, our allies, and Ukraine," Lithuanian Defense Minister Dovile Sakaliene said.

The memorandum will initiate negotiations for the production of medium caliber ammunition, ranging in size from 20-50 mm.

The Giraite Armament Factory will be provided with 35 mm ammunition production technology from the two defense firms, the announcement said.

Sakaliene noted that the new partnership will ensure an uninterrupted supply of ammunition to Lithuania's Armed Forces.

NATO is holding a summit in The Hague from June 24-25 with world leaders, including Zelensky and U.S. President Donald Trump present.

The White House has confirmed that Trump and Zelensky will hold a meeting at the NATO summit.

‘Like any technology, it’s a race’ — UK’s largest ammo maker rebooting chemistry to break NATO’s dependence on explosive imports

Russia’s war in Ukraine has drained Western ammunition stocks. Despite years of claimed weapons ramp-ups, NATO’s arms manufacturing is still not refilling those stocks apace, let alone making it to Ukraine in needed mass. The West has come to recognize that these shortages are due to the offshoring

The Kyiv IndependentKollen Post

Defense Minister Rustem Umerov signed a Letter of Intent on June 24 with his Danish counterpart Troels Lund Poulsen to launch Ukrainian defense production in Denmark, Umerov announced on Facebook.

The document envisages facilitating the deployment of Ukrainian defense companies in Denmark and integrating of the defense industries of both countries through the "Build with Ukraine" initiative.

Denmark has already allocated $47 million for the project, and Ukraine's partners will provide further funding for production.

"I thank the Danish government for its trust, steadfast support of Ukraine, and commitment to developing a deep partnership between our countries," Umerov said. "This partnership enhances the security of Ukraine, Denmark, and all of Europe — today and into the future."

The agreement between Ukraine and Denmark also provides coordination between the Danish Defense Ministry, the Business and Industry Ministry, and the Foreign Ministry to integrate Ukrainian enterprises into the European defense system.

"By providing Ukrainian defense companies the opportunity to start production in Denmark, we are creating a basis for close cooperation between defense companies in both countries. This will also provide the Danish Armed Forces with access to the latest technologies and the experience of Ukraine," Poulsen said.

Denmark has pioneered efforts to support Ukraine by investing in its defense industry, creating the so-called "Danish model" of purchasing arms for Kyiv from Ukrainian producers. Copenhagen has provided around $9.8 billion in military aid under its Ukraine Fund for the years 2023-2028.

‘Like any technology, it’s a race’ — UK’s largest ammo maker rebooting chemistry to break NATO’s dependence on explosive imports

Russia’s war in Ukraine has drained Western ammunition stocks. Despite years of claimed weapons ramp-ups, NATO’s arms manufacturing is still not refilling those stocks apace, let alone making it to Ukraine in needed mass. The West has come to recognize that these shortages are due to the offshoring

The Kyiv IndependentKollen Post

Ukraine has begun serial production of its new ballistic missile “Sapsan”. It has already proven effective in combat by striking a Russian military target nearly 300 km from launch, says Andrii Yermak, head of the Ukrainian President’s Office, according to The Times.

“We will surprise our enemies more than once,” claims Yermak. 

The cutting-edge Sapsan carries up to 480 kg of explosives and reaches speeds five times the speed of sound. While its official range is classified, analysts estimate it could reach 500 km or more.

Military expert Andrii Kramarov claims Russian air defense is powerless against Sapsan. 

“There’s no way they can intercept it,” he says.

He identifies Russian tactical aviation airfields and Iskander-M missile launchers as top priority targets for Ukraine’s ballistic arsenal, according to the Kyiv 24 channel. 

Simultaneously, Russian ruler Vladimir Putin has announced scaling up production for the Russian intercontinental ballistic missile “Oreshnik,” a derivative of the RS-26 Rubezh, which has yet to prove its battlefield effectiveness, Censor.net reports. 

Russia first deployed Oreshnik on 21 November, targeting Dnipro, a Ukrainian city. Putin claimed it was retaliation for Ukrainian strikes using US ATACMS and British Storm Shadow missiles on Russian military infrastructure in Kursk and Bryansk oblasts.

Ukraine and the United Kingdom have reached an agreement to jointly produce drones, Defense Minister Rustem Umerov announced on June 24.

Britain will finance the procurement of Ukrainian-designed drones manufactured in the UK, he added.

The deal comes as Ukraine has rapidly developed its drone capabilities since 2022, evolving from modifying commercial aircraft to producing military UAVs, attack drones, and reconnaissance systems at scale.

The agreement was reached between President Volodymyr Zelensky and British Prime Minister Keir Starmer, Umerov said.

Under the three-year program, the UK will finance the procurement of a wide range of Ukrainian drones to be produced by British defense companies.

"This will enable British defense companies to rapidly design and produce state-of-the-art drones on a large scale," Umerov wrote on Facebook.

According to Umerov, all production will be directed to meet the needs of Ukraine's Defense Forces. After the war ends, the UK and Ukraine will share the produced drones between themselves.

The initiative will support the scaling of advanced technologies, increased drone production, and the integration of Ukrainian and British defense industries, Ukraine’s defense minister wrote.

Ukraine has ramped up domestic drone production over the recent years of its war with Russia, as well as the development of new missiles.

Various aerial, naval, and ground drones have been developed and often successfully used for reconnaissance, combat, and other tasks throughout the full-scale war with Russia.

In January 2025, Umerov announced that the United Kingdom would finance the production of air defense systems and long-range weapons in Ukraine.

President Volodymyr Zelensky said during NATO summit on June 24 that Ukraine has the capacity to produce over 8 million drones of various types each year, but lacks the financial backing to reach that potential, a shortfall he said must be urgently addressed to defeat Russia's growing military network.

"Our defense production potential has surpassed $35 billion,” Zelensky said during a speech at the NATO Defense Industry Forum in The Hague. "This includes nearly 1,000 types of products... but around 40% of this potential lacks proper funding. For example, we can produce over 8 million drones of different types each year, but the financing allows for far fewer."

Zelensky urged allies to scale up investments in joint weapons production, including drone technologies, artillery, and interceptors. He argued that Ukraine's defense capabilities are not only key to defending its own territory, but essential to strengthening NATO's long-term security.

"We must lead in the drone race, both in strike drones and interceptors," he said. "Please increase your investments in Ukraine and joint weapons production. All the weapons we produce become part of a new, stronger European defense and security system."

Why can’t the West match Russia’s ammunition production?

Editor’s Note: This article has been updated to reflect new details of BAE Systems’ new chemical process that the company confirmed to the Kyiv Independent after initial publication. The West is failing to catch up to Russia’s production of the most basic unit of war for the past half-millennium — gunpowder.

The Kyiv IndependentKollen Post

The Ukrainian president emphasized that Russia is not acting alone, but as part of a broader network of state and non-state actors, including North Korea, Iran, and Chinese companies, which support its war effort against Ukraine and pose a long-term threat to Europe.

"The source of this war and the long-term threat to Europe is Russia," Zelensky said. "But in reality, we are not just facing Russia alone. We are facing a network of state and non-state actors."

Zelensky also called on NATO members to increase defense spending to 5% of GDP and to dedicate at least 0.25% of GDP to support Ukraine's military needs directly. He thanked countries such as Germany, Norway, Sweden, and the Netherlands for their elevated commitments, but urged others to follow suit.

Zelensky warned that Russia is planning "new military operations on NATO territory" and that the war in Ukraine must be stopped now to prevent broader European conflict.

"There are no signs that Putin wants to stop this war," Zelensky said. "So long as he kills, he lives. And our intelligence confirms this."

He also appealed for a crackdown on the supply chains that allow Russia to sustain its weapons manufacturing, referring to Western-origin components found in Russian missiles, drones, and armored vehicles.

"It's not just China, also Taiwan. Some of these parts come from European countries and from the United States," Zelensky said. "Every single tool delivered to Russia's defense sector helps prolong the war and is a crime against peace."

Zelensky's speech comes as NATO leaders gather in The Hague for a high-level summit on June 24-25. NATO leaders are expected to discuss raising the alliance's defensespending target to 5% of the GDP, a proposal the U.S. has championed but from which it considers itself exempt.

Zelensky is expected to meet U.S. President Donald Trump during the summit.

Zelensky plans to meet Trump at NATO summit in The Hague

Upon arrival in The Hague on June 24, Andriy Yermak, head of Ukraine’s presidential office, said he held a “substantive” discussion with U.S. Secretary of State Marco Rubio about the upcoming Zelensky-Trump meeting.

The Kyiv IndependentAnna Fratsyvir

Speaking on the sidelines of the NATO summit in The Hague on June 24, NATO Secretary General Mark Rutte called on alliance members to be realistic about the threats posed by Russia and China, and urging them to stay the course in supporting Ukraine.

"Let's not be naive," Rutte said. "You see what China, North Korea and Iran are doing in supporting the war effort of Russia ... So this is all interconnected."

Rutte emphasized that while NATO faces multiple global challenges, from the war in Ukraine to tensions in the Middle East and Russian influence in Africa, the alliance must be able to focus on more than one crisis at a time.

"If you can only deal with one issue at a time, you should not be in politics or defense," he said.

Rutte said NATO's role is to ensure Ukraine has the military means to stay in the fight until "serious" peace negotiations begin.

"We have to make sure that Ukraine is in the strongest possible position when real talks start," he said. "I'm not talking about these talks led by some Russian historian (Vladimir Medinsky) who wants to go back 1,000 years... That's not serious business.”

The talks he referenced, led by Russian presidential aide Vladimir Medinsky and held in Istanbul in May-June, have yielded prisoner exchange agreements but no progress toward a ceasefire or settlement. Ukraine has offered a comprehensive roadmap, but Rutte said Russia had not come to the table with serious intent.

’100 days of Russian manipulations’ — Ukraine blasts Moscow over disregarding US ceasefire effort

A hundred days since the U.S. and Ukraine agreed on a ceasefire, “Russia continues to choose war,” Foreign Minister Andrii Sybiha said on June 19, urging international pressure to push Moscow toward peace.

The Kyiv IndependentMartin Fornusek

Instead, Russia continues to reject U.S. proposed comprehensive ceasefire, and insists on its longstanding maximalist demands.

"When the time comes for serious talks, we must ensure any long-term ceasefire or peace deal is durable — so that (Russian President) Vladimir Putin will never again try to seize even one square kilometer of Ukrainian territory," Rutte said.

Rutte also stressed that Ukraine is evolving from a security consumer into a security producer. He noted that the country's "largely untapped" defense industrial base, with a potential value of up to $35 billion, is increasingly attracting European investment.

"Ukraine has one of the largest defense industries in Europe," Rutte said, adding that many countries, including Norway, Denmark, and Lithuania, are now investing in it. "That helps Ukraine, and it helps us.”

Responding to concerns over Europe's reliance on the United States, Rutte said NATO must stop "worrying so much" about U.S. commitment and instead ramp up its own military capabilities.

"There is total commitment by the U.S. President and U.S. senior leadership," Rutte said, dismissing doubts about Washington's future role in NATO. "However, it comes with an expectation that we will finally deal with this huge bubbling issue, which is that we are not spending enough as Europeans and Canadians."

Rutte strongly backed the alliance's new 5% GDP defense investment benchmark, saying increased spending must translate into ammunition stockpiles, troop recruitment, and industrial output. "The Russians are producing in three months what NATO produces in a year," he said.

Earlier, U.S. President Donald Trump accused NATO members of underfunding their militaries, pushing for raising defense spending benchmark to 5% of GDP.

In 2024, only 23 alliance members met the 2% target, according to NATO estimates. Poland was ahead of all members with 4.12% of GDP allocated to defense, followed by Estonia (3.43%) and the U.S. (3.38%).

‘If we don’t help Ukraine further, we should start learning Russian,’ EU diplomacy chief says

Top EU diplomat Kaja Kallas cited a sharp increase in Russia’s military spending, noting that Moscow is now allocating more money to defense than the EU combined, and more than its own health care, education, and social policies put together.

The Kyiv IndependentAnna Fratsyvir

On 23 June 2025, Norway’s Ministry of Defense confirmed it will fund and jointly produce maritime drones on Ukrainian territory as part of a NOK 6.7 billion or $665 million initiative under the UK-Norway-led maritime coalition. 

Production of uncrewed vessels on Ukrainian soil

According to the Norwegian Ministry of Defence on X on 23 June,

“Norway to develop and produce uncrewed surface vessels (USVs) on Ukrainian soil.”

The Norwegian Minister of Defense, Tore O. Sandvik, specified that “parts of this funding will be used to develop and produce uncrewed maritime vessels using KDA technology, with production based in Ukraine.” The announcement confirms Norway’s direct investment in the Ukrainian defense sector.

In January, the UK had announced its own development of a universal maritime drone for Ukraine.

Kongsberg to partner with Ukrainian defense industry

Kongsberg Defence & Aerospace (KDA) has signed an agreement with a Ukrainian industrial partner to co-develop and manufacture USVs using Norwegian technology. The Naval News report states that these drone boats will be equipped with weapon stations from KDA and built in Ukraine.

KDA president Eirik Lie noted:

“Unmanned vessels play a major role in helping Ukraine to defend its territory, and neutralize the Russian navy in the Black Sea.”

Additional missile development agreement

Alongside the sea drone initiative, Kongsberg signed a separate agreement with another Ukrainian company to develop and produce low-cost, high-volume missiles compatible with the NASAMS air defense system.

According to Naval News and Militarnyi, these missile projects are aimed at enhancing Ukraine’s anti-air capabilities and deepening cooperation between Norwegian and Ukrainian defense sectors.

Ukraine's state defense conglomerate Ukroboronprom and European aerospace giant Airbus have signed a trilateral cooperation memorandum at the Le Bourget International Air Show, the company announced on June 23.

The agreement launches initiatives to develop maintenance and repair capabilities for Airbus aircraft operating in Ukraine among specialists at Ukroboronprom's enterprises.

As part of the deal, Airbus will send representatives to Ukraine to train local specialists, who will then become certified instructors for aircraft maintenance.

"Trust in our defense industrial complex, particularly Ukroboronprom and its enterprises, is growing among global high-tech companies," said Oleh Hulyak, Ukroboronprom Director General, in a press release. "This proves we have chosen the right path for development and international cooperation."

Hulyak expects new partnerships with foreign partners in aviation and other areas of the company's work.

Ukroboronprom is a leading strategic manufacturer of weapons and military hardware in Ukraine. The association unites about 100 enterprises that develop and manufacture weapons, military equipment and ammunition, including missiles, drones, armored vehicles.

The company reported a consolidated net profit of Hr 1.31 billion ($31.5 million) for the previous year as its enterprises tripled production volumes in 2024 compared to 2023, with a 36% increase in contracts.

In 2024, Ukroboronprom was ranked for the first time in history among the top 50 global defense companies by Defense News, according to Strategic Industries Minister Alexander Kamyshin.

‘It was impossible to look at’ — Russian mass missile, drone attack on Kyiv kills at least 9, injures 33

Russia launched a wave of missile and drone attacks on Kyiv and surrounding region overnight on June 23.

The Kyiv IndependentLucy Pakhnyuk

Norway will invest $400 million in Ukraine's defense industry to support drone and air defense missile production, President Volodymyr Zelensky said in his nightly address on June 22.

The announcement followed a visit to Ukraine by Norwegian Defense Minister Tore Onshuus Sandvik.

"Today, Norway’s Minister of Defense visited Ukraine. A decision has been reached to invest $400 million in our production – new funding, primarily for drones," Zelensky said.

Zelensky added that the two countries are also working together to establish joint air defense production inside Ukraine.

"We are working together to create all the necessary conditions to produce air defense systems in Ukraine — jointly with partners, jointly with Norway," Zelensky said.

He added that Norway's largest defense company – Kongsberg Defence & Aerospace – has already opened an office in Ukraine as part of the cooperation.

"We are expediting all processes to the maximum extent," Zelensky said.

On X, Norway's defense ministry confirmed that Kongsberg has signed agreement with a major Ukrainian company to jointly develop and produce missiles for air defense systems in Ukraine.

The collaboration will focus on producing missiles for the National Advanced Surface-to-Air Missile System, or NASAMS.

"The Norwegian NASAMS system saves lives in Ukraine every day, and is crucial in protecting critical infrastructure. That is why it is important for the Norwegian Government to finance this development of cheaper missiles for the NASAMS system in Ukraine," said Minister Sandvik.

The announcement marks deepening ties between Kyiv and Oslo as Ukraine seeks to expand its domestic defense industry amid Russia’s ongoing full-scale invasion and reduced military aid from the United States.

Ukraine war latest: ‘Ukrainian drones for the foot of every Russian soldier’ — Zelensky responds to Putin’s threat to conquer all of Ukraine

Key developments on June 21-22: * ‘Ukrainian drones for the foot of every Russian soldier’ — Zelensky responds to Putin’s threat to conquer all of Ukraine. * 3 killed, 14 wounded as Russia strikes Ukrainian military training facility. * Russia seeks to advance along almost entire eastern front, Ukraine holding ground in Kursk Oblast,

The Kyiv IndependentSonya Bandouil

Ukraine is asking partner countries to allocate 0.25% of their GDP to boosting Kyiv's defense production, President Volodymyr Zelensky said on June 20 at a press briefing attended by the Kyiv Independent.

The president's comments come less than a week before the NATO summit in The Hague, where Zelensky will have another opportunity to discuss Ukraine's security needs with world leaders.

"Ukraine is part of Europe's security, and we want 0.25% of the GDP of a particular partner country to be allocated to our defense industry and domestic production," Zelensky said at the briefing.

Ukraine is currently in talks with Denmark, Norway, Germany, the United Kingdom, and Lithuania on weapons development partnerships, Zelensky said.

The proposed spending target comes as Ukraine faces intensified aerial bombardments, dwindling U.S. support, and new Russian offensives. Moscow has doubled down on its maximalist ambitions in Ukraine, with Russian President Vladimir Putin insisting "all of Ukraine is ours" in remarks on June 20.

At the same time, Ukraine has demonstrated its ability to strike back at the aggressor state using its own domestically produced weapons. Operation Spiderweb, a mass attack on four key military airfields in Russia, was carried out entirely with Ukrainian drones.

Ukraine has been ramping up its defense production since the full-scale invasion in 2022. Support from Western allies has been critical to that effort, as Kyiv's defense budget does not match the capacities of domestic weapons production.

Denmark pioneered a new model of defense support when it became the first country to offer donate arms to Ukraine via direct purchases from the Ukrainian defense industry. Zelensky has said he wants other NATO members to purchase weapons from Ukraine under the Danish model.

Increased defense spending is the main item on the agenda at the upcoming NATO summit. The United States has backed a proposal to raise the spending target from the current 2% to 5% GDP.

While thus far only Spain has rejected the proposal outright, most NATO members have remained noncommittal. Poland, the Netherlands, and Sweden have expressed willingness to consider the 5% target.

Pro-Russian ‘peace protestors’ set to descend on NATO summit

Dutch protesters who regularly call for an end to military aid to Ukraine will descend on The Hague next week to protest the upcoming NATO summit, which is set to take place on June 24-25. The group will protest against NATO alongside several other organizations and has urged supporters on

The Kyiv IndependentLinda Hourani

Ukraine's Defense Ministry has officially approved the new domestically produced unmanned ground vehicle, known as the Termit, for front-line use, the ministry announced on June 21.

The tracked robot is a next-generation version of Ukraine's existing ground-based unmanned systems already deployed across the front. These systems have supported operations by transporting supplies, conducting reconnaissance, and carrying explosives in contested areas.

Termit, the newest model in the series, features improved mobility and modularity. The drone can carry up to 300 kilograms and operates on various terrains thanks to its low profile, tracked design, and improved weight distribution.

Its traction battery system allows for several hours of continuous movement over dozens of kilometers. According to the Defense Ministry, Termit drones can be equipped with combat modules, used for medical evacuations, or for transporting specialized equipment as needed.

Ground drones such as Termit are being used more frequently to minimize soldier exposure to front-line risks. Since Russia's full-scale invasion in 2022, Kyiv has prioritized the development of unmanned systems across all domains — air, sea, and land.

President Volodymyr Zelensky has called for the production of at least 30,000 long-range drones in 2025, alongside expanded investment in strike-capable hybrids such as the Palianytsia and Peklo missile-drone platforms.

Russia ‘afraid to admit’ scale of losses, trying to hide by dumping soldiers’ bodies on Ukraine, Zelensky says

Ukrainian authorities have confirmed that at least 20 of the bodies Russia returned as Ukrainian were actually Russian soldiers, President Volodymyr Zelensky said.

The Kyiv IndependentTim Zadorozhnyy

President Volodymyr Zelensky said on June 20 that Ukraine is rapidly developing interceptor drones to defend against increasingly frequent Russian drone attacks.

In his nightly address, Zelensky said the new drones would help strengthen Ukraine's defenses against Iranian-designed Shahed drones, which Russia has been deploying in growing numbers in recent weeks.

"We are... making separate efforts on interceptor drones, which must strengthen our defense against Shahed attacks," he said, adding that Ukraine's domestic drone production is "already delivering results."

Zelensky also noted that "production volumes of interceptors are already increasing."

Russian drone strikes across Ukraine have been breaking records in recent weeks, with nearly 500 drones and missiles launched overnight on June 9 – highlighting the urgent need for effective countermeasures.

To support Kyiv's defense industry, Zelensky said that Ukraine is working with international partners to secure additional funding and is preparing new agreements ahead of next week’s NATO summit.

Since the start of Russia’s full-scale invasion, Ukraine has focused heavily on developing and deploying advanced unmanned systems. As of April 2025, more than 95% of drones used by Ukrainian forces on the front line are domestically produced.

Both Ukraine and Russia have increasingly relied on drone warfare, employing aerial, naval, and ground-based drones for reconnaissance and combat operations – making technological innovation a critical component of the war.

‘Massive’ Russian drone attacks on residential buildings in Odesa kill 1, injure 14

Russian forces struck residential buildings in Odesa overnight on June 20, killing a civilian and injuring at least 14 others, including three emergency workers, Ukraine’s State Emergency Service reported.

The Kyiv IndependentDmytro Basmat

Failure to provide stronger military and financial support for Ukraine could leave Europe vulnerable to growing Russian influence, meaning Europeans might have to "start learning Russian," the EU's top diplomat, Kaja Kallas, said, the Guardian reported on June 17.

"We know that Russia responds to strength and nothing else," Kallas said. She called Ukraine "Europe's first line of defense" and emphasized the need for continued sanctions against Russia and more aid to Kyiv.

The comments come as Russian forces are intensifying their attacks on Ukrainian cities and the Kremlin continues to reject a push by Kyiv and its Western allies for an unconditional ceasefire.

"To quote my friend, NATO Secretary General Mark Rutte: if we don’t help Ukraine further, we should all start learning Russian," Kallas said.

Kallas cited a sharp increase in Russia's military spending, noting that Moscow is now allocating more money to defense than the EU combined, and more than its own health care, education, and social policies put together.

"This is a long-term plan for a long-term aggression," she said.

In light of this, Kallas urged governments to adopt NATO's new target of spending 5% of GDP on defense, warning of Russia's hybrid warfare tactics, including airspace violations, attacks on critical infrastructure, and covert sabotage operations within EU borders.

The 5% defense spending target is expected to be formally adopted during the upcoming NATO summit, which will take place on June 24 and 25 in The Hague. U.S. President Donald Trump has insisted that the European allies increase their defense budgets.

Earlier, Kallas said Russian President Vladimir Putin "cannot be trusted" to mediate peace while continuing to bomb Ukrainian cities and civilians, as Moscow suggested to mediate negotiations between Israel and Iran amid growing escalation.

"Clearly, President Putin is not somebody who can talk about peace while we see actions like this," she said during a June 17 briefing, after a massive Russian missile and drone strike on Kyiv killed at least 28 people and wounded over 130.

Kallas also reiterated her call for the EU to move forward with tightening the oil price cap on Russian exports, even without U.S. backing. She warned that the ongoing Israel-Iran crisis could cause oil prices to spike, boosting Russia's war revenues.

The EU is currently preparing its 18th sanctions package against Moscow, targeting energy, defense, and banking sectors. The 17th round of sanctions came into effect in May.

Putin says he’s ready to meet Zelensky if West ‘stops pushing’ Ukraine to fight

Russia wants to end the war in Ukraine “as soon as possible,” preferably through peaceful means, and is ready to continue negotiations — provided that Kyiv and its Western allies are willing to engage, Vladimir Putin said.

The Kyiv IndependentOlena Goncharova

Russia deliberately targeted a building used by the U.S. aerospace and defense giant Boeing in a recent attack on Kyiv,  the Financial Times reported on June 15.

Overnight on June 9-10, Russian forces launched hundreds of drones and seven missiles in one of the biggest attacks on Ukraine, damaging buildings across the capital. One of the targets included Boeing’s office, according to two Boeing employees, three Ukrainian officials, and the head of the American Chamber of Commerce (ACC) in Ukraine, whom the FT spoke with.

"This is not just an attack against Ukraine, but also an attack where American business is being hit," Andy Hunder, President of the ACC in Ukraine, which represents nearly 700 U.S. and international investors and corporate members, told the Kyiv Independent.

"This is a war against a world where American businesses are making money and thriving," he added.

The strikes on Kyiv came after Ukraine surprised Russia with Operation Spiderweb that saw hundreds of drones target four airbases in Russia and damage 41 war planes. Moscow promised to retaliate in response.  

Boeing, one of the largest American companies operating in Ukraine, cooperates with the Ukrainian aerospace and defense company Antonov, with the two companies exploring several joint ventures and opportunities, including in defense.

Boeing told the FT that none of its employees were injured in the attack and that it continues to operate in Ukraine, where it employs some 1,000 people.

Antonov has also suffered from Russian strikes, as have other defense production sites. As Ukraine pushes for domestic defense production instead of relying on foreign imports, Ukrainian officials say that Moscow is attempting to hinder Ukraine’s efforts to manufacture arms.

German defense company Rheinmetall opened up a factory in Ukraine last October to produce a batch of Lynx infantry fighting vehicles. Moscow threatened the company, saying it was a legitimate target, although Rheinmetall said its facilities are well protected.

Russia has repeatedly targeted other Western businesses. Nearly half of the ACC’s members have had facilities damaged or destroyed, but 90% still continue to operate in Ukraine, Hunder said.

"The American business community is here, it continues to operate, and it's united," he added.

With no new US aid packages on the horizon, can Ukraine continue to fight Russia?

The U.S. has not announced any military aid packages for Ukraine in almost five months, pushing Kyiv to seek new alternatives. But time is running out quickly as Russian troops slowly advance on the eastern front line and gear up for a new summer offensive. “While Ukraine’s dependence on

The Kyiv IndependentKateryna Hodunova

Germany aims to prioritize defense spending in the next EU budget while firmly opposing any increase in national contributions, according to a position paper obtained by the Financial Times (FT).

As the bloc’s largest economy and top net contributor, Berlin wants EU funds to support joint arms procurement and help expand production capacity among European weapons manufacturers.

The paper reportedly reflects Germany’s broader shift toward higher domestic military spending in response to Russia’s ongoing threat and amid calls by U.S. President Donald Trump for Europe to shoulder more of its own defense.

Berlin argues the EU budget should also fund dual-use technologies, military transport corridors, and other security-related initiatives despite current treaty restrictions on defence spending from the common budget, according to FT.

To free up funds for these priorities, Germany proposes cutting administrative costs and simplifying the EU budget structure. The government supports reducing the number of programes, granting the European Commission more flexibility to shift funds, and focusing spending on strategic areas such as cross-border infrastructure, energy security, digitalisation, and innovation.

Germany also opposes any extension of the EU’s post-Covid joint borrowing programme, stressing that repayments for the 800 billion euro fund must begin in 2028 as scheduled. While Berlin is open to discussing new EU-level revenue sources such as a carbon border levy or minimum corporate tax, it continues to reject an increase in direct national contributions to the budget, which currently total about 1% of EU GDP.

High stakes, low resolve: What Ukraine can expect from the upcoming G7 Leaders’ Summit

As world leaders prepare to gather in the remote community of Kananaskis in Alberta, Canada for the Group of Seven (G7) Leaders’ Summit on June 15-17, Russia’s war in Ukraine once again holds center stage — but views on how to address the three-year conflict diverge sharply. In the five months

The Kyiv IndependentDmytro Basmat

German Defense Minister Boris Pistorius said Europe must begin preparing for a gradual reduction in U.S. military support for both the continent and Ukraine, Tagesschau reported on June 13.

"Yes, that's right. That would be so, and we have to deal with that," Pistorius told journalists in response to a question about the U.S. potentially scaling down its support. He noted that the discussions focus on a reduction in U.S. backing rather than a full halt.

The comments come after U.S. Defense Secretary Pete Hegseth announced that Washington would reduce the assistance allocated to Ukraine in the next year's federal budget.

"We now have to look at how much support drops and whether Europeans can compensate for it," Pistorius added.

While the U.S. has been Ukraine's leading military backer under former President Joe Biden, the Trump administration has yet to approve any aid packages and has become increasingly disengaged from peace talks.

Pistorius's comments come amid increasing uncertainty in transatlantic relations. U.S. Ambassador to NATO Matthew Whitaker confirmed on May 16 that the United States plans to begin discussions with European allies later this year about reducing its military presence on the continent.

Speaking at a security conference in Estonia, Whitaker said the talks would begin after the NATO summit in The Hague in June.

"Nothing has been determined," Whitaker said, according to Reuters. "But as soon as we do, we are going to have these conversations in the structure of NATO."

Whitaker emphasized that any drawdown would be closely coordinated to avoid creating security gaps. Still, he reiterated U.S. President Donald Trump's position that long-standing U.S. efforts to reduce its European military footprint must now be implemented.

"This is going to be orderly, but we are not going to have any more patience for foot-dragging in this situation," he said.

In February, Hegseth reportedly told NATO allies that "stark strategic realities" prevent the United States from being primarily focused on Europe's security. Leaks reported by the Atlantic in March revealed that both Hegseth and Vice President JD Vance privately criticized European defense spending, with Hegseth allegedly expressing his "loathing of European free-loading."

Trump called on NATO member states to increase defense spending up to 5% of GDP. Ahead of the upcoming NATO summit in The Hague on June 24–25, U.S. Secretary of State Marco Rubio said that member states will have agreed to a new goal of increasing defense spending.

"We are headed for a summit in six weeks in which virtually every member of NATO will be at or above 2%, but more importantly, many of them will be over 4%, and all will have agreed on a goal of reaching 5% over the next decade," Rubio told Fox News on May 15.

Such a move would mark a historic shift, with NATO partners collectively accounting for more than half of the alliance's military capacity, according to Rubio.

Since the beginning of Russia's full-scale war against Ukraine in 2022, NATO members have significantly increased their defense spending, with countries like Poland and the Baltic nations aiming to reach the 5% target in the coming years.

Ukraine bracing for ‘painful’ reduction in US military aid after Hegseth announces cuts

Editor’s note: For security reasons, the real names of the soldiers mentioned in this story have not been used. A reduction in U.S. military aid to Ukraine would be “painful” and could have potentially “dire consequences” for the global order, Ukrainian lawmakers and soldiers have told the Kyiv Independent.

The Kyiv IndependentKateryna Hodunova