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Ukraine to redirect the path of its defense export to eastern markets Ukraine is going to redirect the focus of its defense industrial export policies to eastern markets due to a halt in military-technical cooperation with Russia.
This follows from a statement made by First Deputy Prime Minister of Ukraine, Vitaliy Yarema on April 4, 2014. “This is an issue that we address on a daily basis in order to redirect the path of our defense-industrial export to other countries, particularly to eastern markets,” Yarema said.
2 / Ukrainian DEFENSE REVIEW / APRIL-June 2014
The export of defense products to Russia accounts for 40 percent of Ukraine’s overall defense exports, and for this reason it cannot be shut down overnight, Yarema explained, and continued, ”A decision has been taken not to export armaments and military equipment to the Russian Federation’s territory. As regards products for dual use, we are still uncertain because it would have a very severe impact on the Ukrainian economy, and because dualuse products are not products for direct military use”.
Yarema pointed as an example to Zaporizhzhia’s Motor-Sich – a manufacturer of helicopter engines that are suitable for use both on military and civilian helicopters. “Motor-Sich engines are twice as powerful and reliable as their Russian counterparts, and they are more competitive in the market; so operations of this factory should not be discontinued but, instead, increased further still. It’s another matter that Russia acquires them for some purposes but later installs them on military equipment. There are nuances there which need to be settled”,
the Vice Prime Minister said. At the same time, Ukraine will provide support for own defenseindustrial complex via State procurement contracts. “We want these companies to change their specialization to the manufacture of armaments for the Ukrainian military forces. After all, we are in need of leading-edge technology, in need of new equipment. We have excellent tanks, excellent armored personnel carriers, but the only thing needed is that this all be taken under control to ensure that the money is not stolen,” Yarema said.