#Defense Procurement

Western military personnel at exercises in Poland acknowledge that the Ukrainian forces are faster than NATO armies in procurement, training, and weapons development. The difference in tempo is forcing the Alliance to reconsider its bureaucratic procedures.

According to the NYT, based on confidential government audits, Ukraine lost about $1.2 billion in 2024 due to fraud and inefficient defense procurement.

An interactive installation has opened in Kyiv, allowing civilians to experience the process of ordering drones through the closed military store DOT-Chain Defence. In its first year, more than 1.2 million items were supplied through the platform to 500 units.

Ukrainian PM Serhiy Koretskyi announced a one-month audit of the Defense Ministry's needs and directed 70 billion hryvnias in savings to the front, while simultaneously requesting 2 billion euros from the Netherlands for air defense.

The Supervisory Board of the Defense Procurement Agency temporarily appointed Artem Romanyuk, a former deputy minister with experience in Prozorro, as head of DOT. His tasks are cited as the digitalization of procurement and strengthening anti-corruption work.

«General Chereshnya» is preparing a NABU complaint over the ADP's opaque tender for fiber-optic drones. Industry sources point to corruption risks: the procurement of 52 lots was conducted outside Prozorro, and part of the technical specifications were detailed to fit specific manufacturers.

The Supervisory Board of the Defense Procurement Agency unanimously appointed Artem Romanyuk as interim head for the period of the competitive selection. A permanent head of the agency is planned to be chosen by the end of 2026.

On August 31, Arsen Zhumadilov, by mutual agreement of the parties, completed his work as director of the DOT Defense Procurement Agency. The Ministry of Defense of Ukraine stated that a new head would be appointed within the shortest possible time.

Ukraine's Ministry of Defense is shifting its focus to long-range 155mm shells, although manufacturers and military personnel warn of the risks of a complete abandonment of shorter-range munitions.

The DOT agency has for the first time announced a tender for the procurement of two types of ground robotic complexes — logistics and strike. The tender is divided into classes and lots to involve several manufacturers and reduce the risk of supply disruptions.

The procurement system for artillery ammunition in Ukraine creates risks for the timely delivery of long-range 155mm shells. Tenders are closed towards the end of the year, and propellant charges are increasing in price several times over.

The head of AOZ DOT Arsen Zhumadilov stated that the armament resource grew from 633.3 billion to 1.717 trillion UAH, and international financing increased 16 times. In the first half of 2026, the army received more than 2.4 million FPV drones.

The head of the Defense Procurement Agency, Arsen Zhumadilov, refuted rumors of a conflict with the team of former Defense Minister Mikhail Fedorov, stating that no confrontation over tenders existed.

The General Director of the Defense Procurement Agency, Arsen Zhumadilov, has submitted his resignation; his last day of work is August 31. Oleg Klyots will become the Acting Director. The departure is linked to a deadlock in procurement procedures.