Ukraine adopts new wartime procedure for export of military and dual-use goods

Brief Summary

On 1 July 2026, the Cabinet of Ministers of Ukraine adopted Resolution No. 875 (the “Resolution”), approving the Procedure for International Transfers of Military and Dual-Use Goods for the Period of the Legal Regime of Martial Law in Ukraine (the “Procedure”). The Resolution entered into force on 7 July 2026.

The Procedure is designed to give Ukraine's defence-industrial sector an updated, streamlined track for exporting military and dual-use goods and technologies that have already been taken into service or codified. Key features are set out below.

• New mandatory eligibility screening applies to foreign importers, end-users and intermediaries (sanctions, terrorism-financing lists, aggressor-state ownership or control).
• Technology transfers trigger enhanced conditions, including guarantees from the importing state and a 20% value-based payment on any onward transfer of goods manufactured under the technology.
• The Resolution introduces steep new permit fees, which range from 20% to 30% of the value of the goods or technology, depending on the category.
• The statutory review period for permit applications has been reduced to 30 calendar days, down from 90 days under the previous regime.

Application Scope

The Procedure applies to exports of:

• military goods that appear on the military goods list and have been taken into service or codified;
• dual-use goods that appear on the dual-use goods list and may be used to develop, manufacture or operate military goods;
• goods not otherwise listed, to the extent covered by Article 10 of the Law “On State Control over International Transfers of Military and Dual-Use Goods”; and
• military and dual-use technologies.

Exporting the goods or technologies described above under the Procedure requires a contract value of at least approximately USD 340,000 (UAH 15 million). This threshold does not apply to components and accessories.

Contracts below the UAH 15 million threshold fall outside the Procedure and instead require a permit under the general regime that existed prior to its adoption.

The “Drone Deal” Route

A central feature of the Procedure is the so-called "Drone Deal" route. Under this route, transfers to certain partner states may proceed without referral to the Interagency Commission on Military-Technical Cooperation and Export Control Policy (the “Interagency Commission”), except in the specific circumstances described in the Procedure.

A state qualifies if it has concluded an international treaty, or another bilateral agreement or memorandum, with Ukraine. That instrument shall cover cooperation on production, supply, joint development, technology exchange, or the use of unmanned systems or other defence technologies or products.

The list of eligible destination states is approved by the Ministry of Foreign Affairs quarterly.

Role of the Interagency Commission

Although the Procedure is designed to reduce reliance on the Interagency Commission for routine transfers, the Commission retains a gatekeeping role in several respects:

• approval of the eligible-states and critical-goods lists;
• review of permit applications for exports outside the eligible-states list or subject to partial embargo;
• review of applications concerning critical-list goods or technologies, or goods subject to export restrictions under Ukraine's international obligations;
• review of applications flagged with reservations by the Security Service of Ukraine, the Foreign Intelligence Service or the Ministry of Defence's intelligence directorate; and
• applications to dispose of exclusive intellectual property rights, sell technologies, or re-export to third countries goods manufactured under previously transferred technology.

Screening of Foreign Counterparties

Foreign importers, end-users, intermediaries and other foreign parties involved in a transfer shall pass a compliance check before a permit will be granted. Specifically, neither the foreign counterparty nor its participants, ultimate beneficial owners, managers or controllers may:

• be subject to, or connected with persons subject to, sanctions under the Law “On Sanctions”;
• be linked to terrorist activity, or subject to international sanctions;
• be under the direct or indirect control of an aggressor or occupying state, its authorities, entities incorporated under the law of such a state, or individuals who are citizens or residents of such a state; or
• hold, directly or indirectly, corporate rights in an entity incorporated in an aggressor or occupying state.

Technology Transfer Safeguards

Where a transfer involves technology, it is necessary to obtain a guarantee from the importing state. Such a guarantee shall confirm the following:

• the transfer conveys a right to use the technology only, without alienation of IP rights or sale of the technology, save as otherwise permitted;
• the State Export Control Service's prior written consent is required for any onward transfer, re-export, sale or temporary export of goods manufactured under the technology, and for any transfer of the technology, technical documentation or related services;
• manufacture under the technology will remain within the quantities and terms set out in the relevant agreement; and
• Ukraine will be kept informed of any modifications, upgrades or other changes made to goods manufactured using the transferred technology.

In addition, the Procedure imposes a separate payment obligation where goods manufactured under a transferred technology are subsequently exported to a third state. An additional 20% of the value of those goods becomes payable to the Ukrainian State, calculated by reference to Ukrainian state defence procurement prices.

Application Timeline

The State Export Control Service has up to 30 calendar days from receipt of an application to decide whether to grant or refuse a permit. Within this window:

• the State Export Control Service passes the application to the Ministry of Defence within 3 business days;
• the Ministry of Defence has 20 calendar days (10 calendar days for technology exports) to flag specific refusal grounds and confirm its position. If it fails to respond within that period, it is deemed to consent; and
• the State Export Control Service also seeks the views of the Security Service of Ukraine, the Foreign Intelligence Service and the Ministry of Defence's intelligence directorate on whether the transfer may proceed. Each has 15 calendar days to respond. Silence is treated as no objection.

Fee Structure

The Resolution introduces a new fee structure for permits issued under the Procedure:

• Export of finished (standalone) military or dual-use goods – 20% of the value of goods;
• Export of components/parts of military or dual-use goods – 30 % of the value of goods;
• Export of military or dual-use technologies – 20% of the value; and
• Re-export to third countries of goods manufactured under transferred technology – 20% of the value of goods.

For tailored advice on how to apply this development to your business, please contact Maryan Martynyuk, Senior Partner (m.martynyuk@moris.law); Victoria Polishchuk, Partner (v.polishchuk@moris.law); Andriy Savchuk, Partner (a.savchuk@moris.law); or Oleksandr Zub, Senior Associate (o.zub@moris.law).