2026 Defence Export Regulations: Mandatory Contributions and Compliance | Global Miltech Legal
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Under Cabinet of Ministers Resolution No. 875, exporters must contribute 20% of the value of finished goods and 30% of components to the state defence fund. These mandatory payments apply to all export contracts, with approvals processed within 30 days and a 15-day silent consent mechanism for agency reviews.
The implementation of a transparent defence export mechanism through Cabinet of Ministers Resolution No. 875 in July 2026 represents a strategic advancement for the Ukrainian defence tech sector. This regulatory framework has not only opened international markets to domestic manufacturers but has also enforced financial discipline and defined clear areas of accountability between state authorities.
Financial Architecture of Exports: Calculating Mandatory Contributions
The 2026 regulations introduce a two-tier contribution system based on product classification. Calculations are derived from the total value of the export transaction. Beyond financial contributions, manufacturers must prioritize the requirements of the Defence Forces; if a product is included in the quarterly list of critical items, exports may be restricted until domestic military demand is fully satisfied.
Operational Mechanics and the 'Silent Consent' Principle
A key innovation of the July 2026 reforms is the 'silent consent' principle. If the relevant authorities (SBU, Foreign Intelligence Service, Ministry of Defence Intelligence) fail to provide an opinion within 15 calendar days, the transaction is automatically deemed approved. While this minimizes bureaucratic delays, it requires companies to maintain impeccable evidentiary bases and adhere strictly to established compliance procedures.
- 20% of the value of finished products and technologies is directed to the state budget special fund.
- 30% of the value of exported components is subject to mandatory contribution.
- The minimum export contract value for finished products is 15 million UAH.
- No minimum contract value threshold applies to components.
- Export applications are reviewed within a 30-day timeframe.
Risks of Improper Pricing
Ignoring or miscalculating the export price results in the denial of permits by the State Export Control Service (SSECU). The state monitors not only financial aspects but also intellectual property rights: Ukrainian technologies are transferred without the alienation of rights, and any re-export is permitted only with the written consent of Ukraine.
The export of Ukrainian arms in 2026 is not merely a sale; it is an instrument for financing the defence industry. Every hryvnia contributed to the special fund directly strengthens the capabilities of our defence-industrial complex, enabling increased production for the front line.
Defence production requires professional legal support, particularly regarding compliance with new Drone Deal regulations and SSECU verification procedures. The Global Miltech Legal team specializes in the comprehensive analysis of defence contracts and assistance with regulatory verification. Contact us for an initial assessment of your case.
Часті питання
Are contributions to the special fund mandatory for exports under the Drone Deal?
Yes, the requirements to transfer 20% or 30% of the export value are mandatory under Resolution No. 875 for all export contracts, regardless of the Drone Deal format.
How is the classification between finished products and components determined?
Classification must be clearly reflected in the contract and technical documentation agreed upon with the SSECU. This determination directly dictates the contribution rate (20% or 30%).
What are the consequences of failing to pay into the special fund?
Failure to fulfill financial obligations constitutes grounds for the denial or immediate revocation of an export permit by the SSECU, effectively halting the company's operational capacity.
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