Ukrainian MilTech company TAF Industries and German drone manufacturer Wingcopter have signed a memorandum of understanding to establish a joint venture for the production of unmanned aerial vehicles (UAVs). The document was signed on February 13 on the sidelines of the Munich Security Conference, with representatives of the governments of Ukraine and Germany in attendance.
The joint venture will be located in Germany and will operate under the “Build with Ukraine” initiative, aimed at integrating Ukrainian defense technologies into the European industrial ecosystem.
TAF Industries will contribute:
- Licensed UAV designs already in use by the Ukrainian Armed Forces;
- Large-scale FPV drone manufacturing expertise;
- Engineering know-how in electronic warfare (EW)-resilient systems, AI solutions, and “last mile” modules.
Wingcopter will provide:
- Production and certification infrastructure in Germany;
- Engineering resources and integration into EU supply chains;
- Market access across Europe and NATO member states.
The project will be implemented through Wingcopter Security & Defence (WSD), a newly established division focused on the defense and security sector.
Strategic Significance for Europe
The signing of the memorandum comes amid large-scale rearmament efforts across Europe and rising defense budgets in the EU following 2022. The partnership enables:
- Localization of combat-proven Ukrainian FPV technologies within the EU;
- Reduced dependence on Asian components;
- Strengthened European defense autonomy;
- Integration of Ukraine’s modern warfare experience into NATO standards.
In effect, the initiative represents the industrialization of Ukrainian solutions on a European production base.
The Scale of TAF Industries
TAF Industries (formerly TAF Drones) has, within two years, become one of Ukraine’s largest FPV drone manufacturers.
Current production metrics:
- Up to 80,000 FPV drones per month;
- More than 100 electronic warfare systems monthly;
- Over 1,000 units of additional equipment;
- More than 30 products, most certified by Ukraine’s Ministry of Defense.
Financial results:
- $160 million in drone production revenue in the first half of 2024;
- $500 million in turnover from imported components;
- Full-year forecast of approximately $250 million from drones and up to $1 billion in component-related turnover.
In 2025, the company shifted from mass production of low-cost FPV drones to higher-tech systems, including:
- Machine vision modules;
- EW-resistant radio modules;
- Autonomous targeting algorithms;
- Upgraded loitering munition drones with enhanced navigation.
Wingcopter Profile
Wingcopter is a German company founded in 2017, known for its Wingcopter 198 — a fully electric VTOL drone designed for medical deliveries and logistics operations.
The company has secured funding from:
- The European Investment Bank (EIB);
- REWE Group;
- Japan’s ITOCHU Corporation;
- DRONE FUND.
Until recently, Wingcopter primarily focused on the civilian segment, including medical logistics and remote sensing. The launch of the WSD division marks a strategic shift toward the defense market.
What This Means for Ukraine
- Export of technology, not just products. Ukrainian developments are moving into licensing and joint production formats.
- Integration into the European defense industrial base. Ukrainian combat experience is becoming part of the EU defense ecosystem.
- Increased capitalization of Ukrainian MilTech companies. Such agreements enhance the sector’s investment attractiveness.
- Formation of a new cooperation model: “combat experience + European industry”.
