Ukraine's Defense City Offers Tax Breaks and Regulatory Relief to Foreign Defense Manufacturers
DEFENSE
Ukraine's Defense City initiative aims to attract foreign defense manufacturers by offering up to ten years of tax exemptions and streamlined export regulations. Companies must establish a local subsidiary, generate defense-related revenue, and ensure 75% of their income comes from defense products, although this requirement is relaxed for certain aircraft manufacturers. While the program presents significant incentives, firms face challenges in compliance and integration within Ukraine's defense sector.

Jan 15, 2026, 10:40 PM