Ukraine produces drones at lower cost without Chinese parts

Ukraine has successfully developed an entirely local supply chain for drone production, which has become increasingly important amid the ongoing conflict. As of 2024, Ukrainian company Vyriy reported that they have been manufacturing First Person View (FPV) drones using components made solely within the country, breaking away from reliance on Chinese suppliers that previously dominated the market. This local production enables cost savings, as the drones are now cheaper than their Chinese counterparts. Ukrainian components, including frames, initiation boards, flight controllers, and radio control systems, contribute to these drones. However, it should be noted that while the majority of components are sourced locally, some electronic chips might still originate from China or elsewhere. This transition has been gradual, with most parts having previously been imported from China, and the shift to local production reflects a strategic move to reduce dependency on foreign suppliers, particularly amid supply chain disruptions caused by the war. The importance of local production is being recognized globally, with several countries in Europe investing in joint manufacturing of UAV components based on insights gained from Ukraine's experience. The continuous increase in drone production indicates a robust national capability, with projections of over four million drones being produced in the current year, a significant portion of which will come from local sources. This development positions Ukraine to potentially become a significant player in the global drone market post-conflict as other countries aim to establish their own drone arsenals.