Denmark will direct approximately €1.4 billion in 2025 to support Ukraine’s defense industry by financing weapons manufacturing directly at Ukrainian enterprises. The announcement was made by Defense Minister Troels Lund Poulsen, who highlighted the effectiveness of the so-called “Danish model,” whereby allies pay for arms production carried out by Ukrainian companies.
According to Poulsen, this mechanism has already proven its value: last year, Denmark signed contracts worth €600 million, and this year it plans to more than double that amount. He stressed that Ukrainian enterprises are able to fulfill orders much faster than European manufacturers—delivering weapons in months instead of years—while also ensuring greater cost efficiency.
The minister expressed confidence that other countries would join the initiative, noting that many partners have already voiced support for expanding this practice. He also underlined the urgency of military assistance: “Time is working against us. If we don’t act now, the cost in the future will be much higher.”
The “Danish model” was introduced in April 2024, when Copenhagen became the first to allocate $28.5 million for the procurement of weapons from Ukrainian producers. The approach allows Ukraine to define priority projects, which are then financed by the Danish government following an assessment of production capacity.
