“Security, defense, and Defence City are among the government’s priorities for 2026: why science is indispensable, explained expert DolintseThe Ukrainian government presented 12 priorities for 2026, with security and defense being key. The Defence City initiative and
cooperation with global companies Rheinmetall, BAE Systems are important directions.
”, — write: unn.ua
DetailsThe Ukrainian government presented 12 priorities for 2026. The first on the list is the point on security and defense.
Our goal is for half of the arms budget to go to Ukrainian manufacturers; we plan to launch Defence City and joint ventures with global companies such as Rheinmetall, BAE Systems, and others.
The Prime Minister also emphasized the need for the transformation of defense forces, the importance of a unified policy for the construction of fortifications and protective structures, electronic warfare and sky protection, scaling up domestic production, developing innovations, etc.
At the same time, experts emphasize: the development of innovations in the defense sector is possible only with systematic research and development work. This is precisely what the Ukrainian aviation industry insists on, in particular, within the framework of the Defence City initiative.
Economist and aviation expert, aviation sector manager Bohdan Dolintse explains that research and development work forms the basis for technological breakthroughs.
When it comes to research and development, it is actually about finding technologies or solutions that can later be used in practical life – in civil aviation products and in the military sphere. Such technologies are mostly dual-purpose – from specific engine operating methods to protected antennas or alternative navigation systems.
MP Volodymyr Kreidenko: preservation and development of the domestic aviation industry is a matter of national sovereignty and technological independence15.08.25, 12:59 • 95559 views
Next, according to Bohdan Dolintse, follows the second stage – research and development work, which allows testing technologies as part of specific products and making decisions about their commercialization and integration into production. An example of such work is the modernization of Ruslan aircraft and army aviation equipment, as well as the restoration of Mriya.
The development, for example, of a digital autopilot for the Ruslan aircraft may require the implementation of research and development work to create a Ukrainian version of this automatic control system, which must meet all international requirements for aviation control systems (…) Companies that have similar products will not simply transfer their technologies to anyone, and therefore, for example, if there is a need to create their own system, it will actually be developed from scratch, even if an analogue exists.
In summary, the expert noted that Ukraine operates Soviet-made aircraft that still use outdated systems developed 20-40 years ago and more. Many of them are no longer produced, and the enterprises that created them have long ceased to operate. Therefore, to modernize or even manufacture a new aircraft, it is necessary either to look for analogues of such systems or to create new ones.
Thus, the development of innovations in the defense sector is possible only when government priorities are supported by practical mechanisms for their implementation. The directions announced by the government are extremely important, but, as experts explain, they must be based on the real needs of the industries. In particular, for the aviation sector, it is critically important to be included in the Defence City initiative, and also to be able to legally secure the possibility of using released funds for research and development work. This will not only integrate Ukrainian enterprises into rearmament processes, but also ensure technological breakthroughs on which the future of the defense industry is built.
RecallOn July 16, the Verkhovna Rada of Ukraine adopted in the first reading three key draft laws aimed at introducing a special legal regime for Defence City – to support the domestic defense-industrial complex. The documents provide for tax, customs, and budget benefits for participants of the special regime – until 2036.
At the same time, the aviation industry sounded the alarm due to the disregard of its position when forming the Defence City regime, as well as due to overly strict criteria for residents, which even such aviation flagships as Antonov and Motor Sich would not be able to meet.
According to People’s Deputy Nina Yuzhanina, the inclusion of major aviation companies in the special regime is considered unequivocally necessary.
In turn, Deputy Mykhailo Tsymbalyuk, commenting on aviation in Defence City, stated that state support is important for enterprises of all forms of ownership, because it is in synergy that they are able to restore Ukraine’s power in aircraft manufacturing.
AddUNN obtained a list of amendments to one of the draft laws on the creation of Defence City, submitted by people’s deputies for the second reading. It is proposed to expand the list of residents to include aircraft manufacturing enterprises that fall under the Law “On the Development of the Aircraft Manufacturing Industry”. This will allow officially including aviation enterprises, defined by the Cabinet of Ministers as critically important for the economy and defense, in Defence City.
Regarding the threshold of income from defense activities, which is the entry point to Defence City, it is proposed to reduce the requirement to 40-50%, take into account annual, not just quarterly income, and include in defense income the production and maintenance of aircraft, engines, and components. Without this, even giants like SE “Antonov” risk being left out of the special regime and losing tax benefits. It is also proposed to include in Defence City enterprises that participate in international contracts for the export of military or dual-use technologies.
In addition, it is about lifting restrictions on the presence of tax debt, overdue contracts, or dividend payments, as in wartime conditions this does not always indicate unreliability. Operations are affected by shelling, relocation, and supply disruptions. Instead, it is proposed to allow the inclusion of such enterprises in Defence City provided the debt is repaid within three years.
Other amendments provide for the expansion of tax benefits for aircraft manufacturing (provided reinvestment), customs preferences for critically important imports, state guarantees, and insurance of export contracts. The conditions for returning benefits in case of loss of compliance with the criteria are also clarified, including the prohibition of retrospective sanctions. The released funds should be directed to the development of production, modernization, research and development work, the introduction of new technologies, personnel training, and the acquisition of intellectual property rights in the field of aircraft manufacturing.
Whether the parliament will take into account the submitted amendments regarding the aviation sector remains to be seen. At the same time, delay or disregard for the needs of the industry can have critical consequences: from the inability to ensure the technical serviceability of the Ukrainian Armed Forces’ aviation to the final decline of Ukrainian aircraft manufacturing and the outflow of qualified personnel.