Old equipment, new challenges: what threatens the technical resource of Ukrainian aviation

Ukrainian army aviation successfully shoots down enemy drones using Soviet-era equipment, but the aviation sector itself risks losing the ability to maintain it soon. The industry warns that without a review of state support conditions, not only production potential but also the ability to service military equipment may be jeopardized in the near future, writes UNN.

Aviation relies on enthusiasm, not resourcesCommander of the Army Aviation of the Ground Forces of the Armed Forces of Ukraine Pavlo Bardakov stated that in the conditions of a full-scale war, Ukrainian army aviation effectively uses Soviet-made equipment. Along with Mi-8, Mi-17, Mi-24 helicopters and other types of equipment, an unusual combat unit appeared in the Armed Forces of Ukraine – the Yak-52 squadron.

Army aviation units work in cooperation with the Air Force, air defense, and mobile fire groups. Helicopters and light aircraft are used to hunt for “Shaheds” and do so successfully near the front line and over rear regions.

Although the equipment is old, it is all well-maintained and operational. The guys are getting the most out of the old machines. Even in such a simple way, we are doing a great job

The army aviation also reported that light sports and training aircraft Yak-52 were “mobilized” from civil aviation to combat drones. This approach is another example of effective interaction between the civil and military aviation sectors. Today, civil aviation enterprises largely provide technical maintenance, modernization, and repair of aircraft that perform defense, logistics, medical transportation, and other tasks. Thanks to this synergy, it is possible to keep old but reliable equipment in good condition and even adapt it to new challenges.

At the same time, the Ukrainian aviation industry is going through one of the most difficult periods in its history. Closed airspace, constant threat of shelling, and forced relocation of enterprises to safer regions are only some of the challenges it faces. The level of state support remains a key factor.

Despite its strategic importance, from January 1, 2025, the industry lost the preferential regime that had been in effect since 2010. It provided for exemption from income tax, VAT, and land tax, investment incentives for modernization, and export support. These very tools allowed enterprises to maintain production, preserve competitiveness, and human resources even in wartime conditions. Today, the industry is working at its limit, and its further functioning depends on decisions at the level of state policy.

“In the absence of support, one can put an end to technical re-equipment. It will be impossible to carry out technical re-equipment, and this entails the absence of working capital and funds to increase competitiveness. No compensation – nothing to trade, nothing to increase wages with. And this means that the industry will go not slowly, but very quickly, to a decrease in its potential and will be destroyed,” noted the President of the Aerospace Association of Ukraine Viktor Popov.

Defence City: a chance or a threat of final curtailment of the industry?The Aerospace Association of Ukraine considers the inclusion of aviation enterprises in Defence City – a new legal regime for supporting enterprises of the defense-industrial complex – to be the most effective and fastest support tool. This initiative provides for special conditions for production development, simplified interaction with the state, and tax preferences, but the criteria in the current interpretation for residents are too strict and unattainable even for such flagships of the aviation market as “Antonov” or “Motor Sich”.

“The criteria there need to be softened and changed. There are too many criteria… From the current draft laws, it follows that in order to become a participant in Defence City, 90% of everything the company produces must go to the defense industry in the last year. Of course, with large companies, such as airlines, this will not be the case,” commented Yuriy Hudymenko, Head of the Public Anti-Corruption Council under the Ministry of Defense of Ukraine, on the situation.

Experts emphasized that the Defence City initiative needs refinement. In turn, the head of the Verkhovna Rada Committee on Finance, Tax and Customs Policy, Danylo Hetmantsev, called on all parties – enterprises, associations, and experts – to actively engage in the process: submit proposals, comment, and participate in refining legislative changes.

“We are all interested in creating conditions that will allow our defense industry – and today it is the locomotive of the economy – to grow further, pulling related sectors along. The package of legislative solutions should give a clear impetus for the long-term development of the industry,” Danylo Hetmantsev emphasized.

People’s deputies have already submitted amendments to the draft laws on the creation of Defence City. In particular, it is proposed to expand the list of Defence City residents to include aircraft manufacturing entities falling under the Law “On the Development of the Aircraft Manufacturing Industry”. This will allow aviation enterprises, previously recognized by the government as critically important for the economy and defense capability of the state, to be included in the new regime. Among other steps are reducing the requirement for the share of defense income from 90% to 40–50%, taking into account the annual indicator, and expanding the definition of defense activity. The abolition of restrictions related to tax debts or technical delays is also envisaged, provided they are gradually eliminated. Separate amendments concern the introduction of tax and customs benefits for aircraft manufacturing (provided reinvestment), export support, and a clear mechanism for returning benefits without retrospective sanctions.

Whether the parliament will take into account the submitted amendments regarding the aviation sector remains to be seen. At the same time, delay or ignoring the needs of the industry can have critical consequences: from the inability to ensure the technical serviceability of the Armed Forces’ aviation to the final decline of Ukrainian aircraft manufacturing and the outflow of qualified personnel. The topic has already gained public resonance. Military personnel, representatives of the aviation industry, experts, and legislative authorities unanimously emphasize: without reviewing the Defence City criteria and including aviation enterprises in this regime, it is impossible to guarantee the stability of defense potential. And in wartime conditions, the preservation and development of national aircraft manufacturing is not a right, but a duty of the state.