A new investment in the Ukrainian arms industry is expected from Denmark in June, announced Defense Minister Troels Lund Poulsen. When defense ministers from EU countries meet on Tuesday to discuss support for Ukraine and defense preparedness, the Danish defense minister will push for more countries to invest in the Ukrainian arms industry, following Denmark’s lead. Together with Estonia, Poland, Sweden, Finland, Latvia, Lithuania, and the Netherlands, Denmark has sent a letter to the European Commission and other European countries to urge them to do the same.
“We need to do more to strengthen the Ukrainian defense industry. This includes cooperation from a European perspective, but also the possibility of purchasing defense equipment directly from Ukrainian defense companies,” said Troels Lund Poulsen. Last month, Troels Lund Poulsen and Foreign Minister Lars Løkke Rasmussen visited Ukraine to sign a memorandum of understanding stating that Denmark will invest in Ukraine’s defense industry. Troels Lund Poulsen mentioned that he has brought up the topic in international meetings. Now, other countries have formally expressed support for direct investments in Ukraine, following Denmark’s lead.
For Denmark, the memorandum of understanding means investing in drones, missiles, and artillery produced in Ukraine by Ukrainian companies, rather than in other countries. Troels Lund Poulsen hopes that other countries will follow Denmark’s example or provide financial support to Denmark to invest further in Ukraine. “We are close from the Danish side to finalizing the first project. I expect that in June we will be able to place the first order with one or more Ukrainian defense companies,” said Troels Lund Poulsen. He mentioned that the order would involve artillery and drones.
According to the Ministry of Defense, data from the European Commission shows that almost 80% of the defense equipment purchased by EU countries since Russia’s invasion of Ukraine has been bought from outside Europe. Troels Lund Poulsen believes this is unsustainable. A defense industry in Europe needs to be built up to meet the needs of member states. Furthermore, if Ukraine can produce its own military equipment in the future, it will make a crucial difference, as it will allow for quicker delivery of weapons to the frontlines and easier servicing and maintenance of defense equipment.
“I believe there is a strong political desire to take action and allocate funds at the European level to do what we are proposing from the Danish side,” said Troels Lund Poulsen.