Ukraine Launches $21 Million Initiative to Mass-Produce Domestic Military Explosives

The Ukrainian Ministry of Defense has announced six winners of a competitive grant program to scale the domestic production of military-grade explosives, Hromadske reported on July 1.

The total budget for the approved manufacturing projects stands at 944 million UAH ($21.07 million), with the state providing 620 million UAH ($13.84 million) in non-refundable co-financing. Under the terms of the program, selected private companies will cover 30% of the scaling costs, while the government provides the remaining 70%.

According to Hromadske, citing Minister of Defense of Ukraine Mykhailo Fedorov, the funding will enable local companies to establish large-scale production of critical explosives, including TNT, RDX (hexogen), PETN, and plasticized C4 analogs, addressing a persistent domestic deficit of raw munitions materials.

The initiative was launched through the state defense-tech cluster Brave1  to reduce Ukraine’s heavy reliance on foreign chemical imports. Brave1 CEO Andrii Hrytseniuk explained that while local defense laboratories had previously mastered producing high-quality explosives in small volumes, the vast majority of explosives used in domestic Ukrainian artillery shells are currently manufactured abroad.

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Minister of Defense Mykhailo Fedorov emphasized that out of 42 private applicants, only the six winners who successfully demonstrated scalable, high-energy innovative outputs were selected. Hromadske highlighted that the program prioritizes high-impact brisant explosives like RDX, which are vital for maximizing frontline combat effectiveness and ensuring a steady, locally controlled supply chain for the country’s armed forces.

While Ukraine scales its domestic chemical infrastructure to achieve self-sufficiency, it continues to rely heavily on international partners to meet its immediate frontline artillery requirements. Ukraine had recently ordered tens of thousands of long-range 155mm artillery ammunition from German defense manufacturer Rheinmetall in a deal worth tens of millions of euros.

The contract, which includes both extended-range shells and propellant charges compatible with NATO-standard PzH 2000 and Caesar platforms, is scheduled for complete delivery by the first quarter of 2027 as Rheinmetall expands its production capacity to help meet Kyiv’s annual demand.

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