Ukraine has the capacity to manufacture four million drones each year and is rapidly increasing its output of various other weaponry, as stated by President Volodymyr Zelenskiy in remarks released for publication on Wednesday.

During a meeting on Tuesday with executives from numerous international arms manufacturers in Kyiv, Zelenskiy revealed that Ukraine has already secured contracts for the production of 1.5 million drones this year. Prior to Russia’s invasion in February 2022, drone manufacturing was nearly nonexistent in Ukraine.

“In the extremely challenging circumstances of a full-scale war, amidst ongoing Russian attacks, Ukrainians have managed to establish a nearly new defense industry,” Zelenskiy remarked.

Prime Minister Denys Shmyhal, addressing the same audience, noted that Ukraine has tripled its overall domestic weapons production in 2023 and subsequently doubled that output again within the first eight months of this year. Ukrainian officials did not provide specific figures.

After more than 31 months of conflict with invading Russian forces and with no resolution in sight, Ukraine allocates approximately half of its national budget—around $40 billion—toward defense expenditures. The country also benefits from substantial military and financial assistance from its Western allies.

In contrast, Russia, which is significantly larger and wealthier than Ukraine, is projected to increase its military budget by 25% next year, reaching approximately $145 billion. Ukrainian officials anticipate a gradual decline in foreign funding, even as their defense requirements continue to escalate. As a result, Kyiv is placing greater emphasis on enhancing domestic production capabilities.

Prime Minister Shmyhal announced that the government intends to boost spending to support the growth of local arms manufacturing in 2025. “The budget for next year includes a 65% increase in funding for weapon acquisitions, amounting to nearly $7 billion,” Shmyhal stated at the forum.

Ukraine’s strategic objective is to enhance its domestic long-range capabilities and establish conditions that would provide a technological edge over Russian military forces.

Russian troops have been making consistent progress in the eastern Donetsk region of Ukraine, recently asserting full control over the small mining town of Vuhledar.

For Ukraine, the capacity to conduct strikes deep within Russian territory is of utmost importance. President Zelenskiy has been actively seeking authorization to utilize Western long-range missiles for operations inside Russia, but has yet to secure any agreements.

Shmyhal emphasized, “One of our strategic objectives is to bolster the long-range capabilities of Ukrainian weaponry, ensuring that there are no secure areas in the European part of Russia that our drones and missiles cannot reach.”

At an event on Tuesday, multiple agreements were finalized between Ukrainian and international companies aimed at producing ammunition, various types of drones, and repairing Western military equipment within Ukraine.

Additionally, the Franco-German defense consortium KNDS, known for manufacturing heavily armored wheeled and tracked vehicles, announced the establishment of a subsidiary in Kyiv.