In a significant strategic shift from donations to co-production, Sweden is allocating €430 million from its Ukraine aid package to enhance air defenses, drones, and domestic arms manufacturing. Defense Minister Pål Jonson announced on Monday that 4.95 billion kronor (€430 million) will be dedicated to strengthening Ukraine’s defense capabilities as part of a larger €1.38 billion support initiative.
The funding will be used to improve Ukraine’s air defense systems, long-range drone capabilities, and ammunition supplies, as well as to support armored ground vehicles. Approximately 1.1 billion kronor (€95 million) will be invested in the Danish model, which involves producing defense materials through Ukraine’s own arms industry, while a similar amount will be allocated for air defense and drone systems.
“This represents a transition from donations to production,” Jonson stated, emphasizing collaboration with both Ukraine’s defense sector and international partners.
An additional 418 million kronor (€36 million) is allocated for acquiring new equipment to restore Ukraine's ground combat capabilities. Sweden is also contributing 1.1 billion kronor (€95 million) to ammunition initiatives in the Czech Republic and Estonia. This package features innovation competitions organized by Sweden’s Defence Materiel Administration (FMV), inviting companies to present their solutions in a "Dragon’s Den-style" format to assist Ukraine. These funds are part of Sweden's military aid program for Ukraine for the years 2024–2026, which is supported by the government and its far-right ally, the Sweden Democrats.
