Ukraine Allows Military Tech Transfer to Private Companies
Private companies involved in the defense sector will be able to access military technologies owned by the state. On March 9, 2025, the Ukrainian Government approved a significant Resolution No. 279 that allows the transfer of state-owned military technologies to private companies for further use in the defense industry ("Resolution”). This move aims to foster collaboration between the public and private sectors to enhance Ukraine’s defense capabilities. The measure is also designed to facilitate the rapid development and production of military equipment, including weapons systems, by Ukrainian manufacturers.
This Regulation is part of broader efforts by the Ukrainian government to modernize its defence industry and integrate private enterprises into national security efforts. The Resolution also reflects a continuing trend of increasing the involvement of the private sector in state defence procurement processes.
Resolution Summary
The Resolution provides a procedure for granting permission to transfer intellectual property (e.g., design documentation) related to military technologies, which can be accessible to qualified private enterprises.
If a state customer in the field of defense procurement (e.g., the Ministry of Defence) plans to purchase weapons in quantities that exceed the production capabilities of state-owned enterprises, then, at the initiative of the state customer, the design documentation for its production can be transferred to other manufacturer(s) capable of mastering its production, including private manufacturers. In other words, the state customer sends a request to the Ministry of Strategic Industries for the need to select companies for scaling up the production.
The Ministry of Strategic Industries (https://mspu.gov.ua/en) is preparing initial proposals regarding business entities for scaling up the production of a product sample, taking into account their presence in the electronic register of selection participants and performers of state contracts (agreements). It sends proposals to the state customer regarding business entities that manufacture similar or analogous product samples.
The state customer then checks the selected companies based on the criteria listed in the Resolution.
Based on the check results, the state customer prepares and submits proposals to the Interdepartmental Commission on Defence-Industrial Complex regarding the list of business entities to which the design documentation for scaling up the production of a product sample may be transferred.
The Interdepartmental Commission on Defence-Industrial Complex reviews the proposals from the state customer and, following the review, submits recommendations to the state customer regarding the transfer of design documentation to business entities for mastering the serial production of the product sample.
The Resolution provides for requirements to the government contract with selected private company (-ies) (e.g., protection of state secrets and intellectual property).
Conclusion
The Resolution marks a strategic shift toward greater collaboration between the government and private businesses in Ukraine’s defense sector. This move is expected to accelerate the production of advanced military technologies and strengthen Ukraine’s defense capabilities amid ongoing security challenges.
For more information, please contact IP&TMT practice partner Oleg Klymchuk and associate Ihor Korohod.
Information contained in this overview is for general information purposes only, does not constitute legal or other professional advice, and should not be relied upon as a substitute for specific professional advice tailored to particular circumstances.