Europe to️ Ukraine: Investing in Ukrainian resilience and supporting defence innovation

Ukraine needs significant and immediate investment for defence and recovery. European defence companies can play an important role in contributing to Ukraine’s resilience, modernisation and strengthening European security.

Strategic investment and collaboration in defence innovation are vital. They connect Ukrainian and European expertise to enhance the collective defence capabilities of both. This cooperation also yields economic benefits, promotes stability and offers unique insights into adaptive defence solutions.

Our solutions for European defence companies in Ukraine

We provide tailored solutions to navigate challenges in operating in Ukraine—most obviously the ongoing war, but also the need for rapid industrial scaling.

1. Regulatory and legal conditions

We facilitate smooth market entry and operations in Ukraine.

Our tailored regulatory and legal solutions include:

Support in structuring investments for efficient profit repatriation, minimising tax liabilities.	Addressing export restrictions.	Help in navigating intellectual property, data protection rights and foreign currency limitations.
Support in establishing legal presence and joint ventures in Ukraine.	Facilitating communication and collaboration with the Ukrainian Ministry of Defence, Ministry of Economy and related agencies to comply with regulatory requirements and streamline processes. Guidance and support throughout procurement processes.	Advising on Ukrainian commercial law through providing specialist support on commercial contracts and non-disclosure agreements (NDAs).

2. Manufacturing capacity

We help you overcome challenges related to limited industrial capacity and access to modern production facilities.

Our solutions to build manufacturing capacity include:

Identifying industrial park options, locations and tax incentives.

Facilitating technology transfer and investment in modern production lines.

3. Supply chains

We help you manage supply chain vulnerabilities while minimising tax leakage related to customs and international trade.

Our solutions to managing supply chain risk and disruption include:

Implementing strategies for supply chain risk mitigation.

Optimising customs and international trade processes to decreasing tax burdens.

4. Workforce and skills

We work with you to address talent gaps and attract skilled personnel, including veterans.

Our workforce and skills solutions include:

Developing upskilling/reskilling programmes and recruitment strategies, offering remote work options to engage personnel, including veterans.

Providing guidance on local labour and immigration regulations.

5. Infrastructure and security

We bring facility security solutions for doing business in Ukraine.

Our infrastructure and security solutions include:

Implementing practical solutions.

Securing war risk insurance.

Resolving land acquisition challenges.

6. Intellectual property (IP) and data protection

We assist defence companies with IP enforcement, closing data protection gaps and manage conflicting legal obligations.

Our IP and data protection solutions include:

Legal risk assessment focused on IP and data protection.

Development of compliance frameworks aligning EU and Ukrainian law.

Support in managing conflicting legal obligations.

7. Business development and strategic partnerships

We identify opportunities and help defence companies establish strategic alliances.

Our business development and strategic partnerships solutions include:

Investment support and advisory: Guidance on navigating the Ukrainian investment landscape. This includes managing legal and regulatory requirements and incentive programmes.

Attracting foreign aid: Leveraging our extensive network to attract foreign aid, including collaboration with embassies.

Tax and customs compliance: Specialist advice on tax compliance (ITS, VAT, and direct taxes) and customs regulations, focusing on international transactions and the specific needs of defence-related businesses.

Comprehensive feasibility research: Focusing on the Ukrainian defence market and opportunities for dual-use technologies. Research includes technical feasibility studies, market analysis, risk assessment and financial modelling.

Focus on defence companies

We provide bespoke solutions for companies operating in the following areas:

Autonomous systems: Drones, unmanned vehicles and AI-powered surveillance.

Electronic warfare: Signal intelligence, GPS jamming detection and radio frequency (RF) tracking.

Cybersecurity and AI: Secure communications, threat detection and battlefield decision-making.

Advanced materials and manufacturing: Lightweight armour, stealth coatings and rapid prototyping.

Space and aerospace defence: Satellite defence, hypersonics and orbital surveillance.

Examples of Ukraine and NATO-based company cooperation

Thales Group (France) and the Ukrainian Defence Industry (UDI): Joint ventures in air defence, radar technologies, electronic warfare and anti-drone missile production.

Weibel Scientific (Denmark) and UDI: Collaboration on advanced radar technologies.

Rheinmetall (Germany) and UDI: Construction of a joint ammunition production plant.

Boeing Defence (USA) and the Ukrainian Ministry of Defence: Discussions on ammunition, air-launched weapons and joint drone production opportunities.

Quantum Systems (Germany) doubled its production capacity in Ukraine as a direct response to the critical need for the most sophisticated drone technology on the battlefield.

ARX Robotics opened an office in Ukraine and joined Diia.City, Ukraine’s special legal regime for IT and tech companies. The company plans to transfer part of its production and research and development capabilities to Ukraine to be closer to the frontlines and better support defence needs.

Contact us

Oleksiy Katasonov

Partner Tax, Legal & People Leader PwC in Ukraine , PwC Central and Eastern Europe

Tel: +380 50 546 75 75

Todd Bradshaw

CEE Defence Leader, Partner, PwC Central and Eastern Europe

Tel: +421 903 268 046

Oleksandr Pshenyshniuk

Senior Manager Government & Public Sector Defence, PwC Central and Eastern Europe

Tel: +380 50 011 50 59

Valeryia Drabinovich

CEE Defence Operations Manager and Incentives Lead, PwC Central and Eastern Europe

Tel: +421 903 451 143

Alex Yankovski

Partner, Partner and Public Sector Leader, Technology and Cyber, PwC in Ukraine

Tel: +380 44 354 0404

Olga Melnychenko

Director, Market Entry and Exit and Employment and Immigration Practice, PwC in Ukraine

Tel: +380 44 354 0404

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