How Ukraine can help accelerate US defense technology

The U.S. stands at a critical juncture in its defense strategy. Despite our advanced drone technology, the nation risks falling behind in the rapidly evolving military revolution led by affordable and effective unmanned vehicle technologies.

The war in Ukraine has provided a real-world testing ground for cutting-edge drone and electronic warfare capabilities, much of it developed in the cauldron of battle. Joint ventures between American and Ukrainian companies could serve as a powerful pathway to harness this innovation, to scale production and to strengthen both nations’ defense ecosystems.

Joint ventures between U.S. and Ukrainian firms present a unique opportunity to bridge gaps in cost, production and technology development. Ukrainian companies have demonstrated remarkable ingenuity in designing cost-effective and combat-tested solutions. These innovations, born out of necessity, have shaped the battlefield in ways that American companies can learn from, adapt to and exploit.

Consider the staggering cost disparities in autonomous technologies. The American-made AeroVironment Switchblade 300 aerial drone, a staple in the U.S. military’s arsenal, costs approximately $80,000 per unit, whereas the Chinese-made DJI Mavic 3, widely used by Ukrainian forces in the first year of the war, is a mere $1,700. Not content with this reliance on Beijing, however, Ukraine innovated. Today, the Ukrainian military is largely reliant on domestic manufacturers for its first-person-view drones. These firms produce 3D-printed units that can cost as little as $300 to $400 each. For context, a single 155mm artillery shell costs $3,000.

Similarly, the American-made Harpoon anti-ship cruise missile costs approximately $2.25 million per unit, whereas the Ukrainian-made MAGURA V5 naval drone, which has played a pivotal role in destroying the Russian Navy’s surface ships, costs about $240,000 per unit.

The U.S. defense industry’s manufacturing scale is its greatest asset, but it often struggles to adapt rapidly to changing needs. Ukrainian expertise in battlefield innovation and rapid prototyping could complement our capabilities, enabling both nations to address wartime challenges more effectively.

For instance, drones designed by Ukrainian firms could be mass-produced in the U.S., dramatically reducing costs and increasing availability. This scaling would not only support Ukraine’s defense, but also bolster U.S. preparedness for future conflicts, particularly against technologically advanced adversaries such as China.

Joint ventures would not only yield affordable and effective solutions but would also deepen U.S.-Ukrainian defense ties. These partnerships would go beyond meeting immediate wartime needs; they would lay the groundwork for future joint innovations and enhance interoperability between U.S. and Ukrainian forces — essential for long-term collaboration.

We recently visited Ukraine and interacted directly with various military units, where we saw Ukrainian technological ingenuity in action. By collaborating with Ukrainian counterparts, the defense sector would gain access to the latest battlefield-tested technologies, driving innovation and maintaining a competitive edge in the global arms market. By integrating lessons learned from Ukraine, the U.S. can better position itself for the next era of warfare.

For this collaboration to succeed, however, both nations must address export controls and intellectual property protection.The U.S. government must streamline its export control policies to facilitate the transfer of sensitive technologies to properly vetted Ukrainian partners. Implementing export license exemptions for defense collaborations would allow seamless intellectual property sharing while maintaining national security safeguards. Ukrainian lawmakers, meanwhile, should loosen export restrictions to enable smoother collaboration with American firms.

But aligning export controls and ensuring robust protections are not sufficient — both governments must actively incentivize joint ventures. This could include grants, tax breaks or the establishment of a U.S.-Ukraine “defense innovation fund” focused on research and development in critical areas such as drone technology, autonomy and electronic warfare.

The conflict in Ukraine has shown that the nature of warfare is changing rapidly, with technology and adaptability at its core. America cannot afford to lag behind in this revolution. By leveraging the battlefield-tested innovations of Ukrainian firms and combining them with our manufacturing and technological capabilities, America can prepare for the challenges of the future.

Joint ventures are not merely a strategic choice; they are a necessity. They represent a path toward cost-effective innovation, stronger defense ties and enhanced security for both nations. As policymakers in Washington and Kyiv consider the next steps in their partnership, the focus must be on fostering collaboration that delivers tangible results on today’s battlefield and beyond. This is a moment of opportunity for both nations to seize to secure a stronger, safer future.

Isaac “Ike” Harris, CDR USN (ret.), is an adjunct fellow at the Center on Cyber and Technology Innovation at the Foundation for Defense of Democracies. Rear Adm. (Ret.) Mark Montgomery is senior director at the Center on Cyber and Technology Innovation and a senior fellow at the Foundation for Defense of Democracies.

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