Skip links

Report on the “Carpathian Sea of Freedom” Conference – How to Build Cooperation in Defense Ecosystems

The conference held on April 28 in Truskavets brought together Ukrainian and Euro-Atlantic partners for the second time to create a practical platform for launching joint Ukrainian-European projects in the dual-use and defense sectors. More than 120 people attended the conference, including numerous representatives of the Ukrainian Armed Forces – representatives of brigades, the General Staff of the Armed Forces of Ukraine, the Security Service of Ukraine, the Main Intelligence Directorate, the National Police, and Brave 1 – as well as manufacturers, startups, and universities. The main focus of the conference was on integration into innovation ecosystems, joint production chains, and scaling. This report provides a brief overview of the event.

Конференція«Карпатське море свободи». Фото надані організаторами

Overview of presentations by key topics

Session 1 – Integration into Innovation Ecosystems

The conference began with a discussion on how to shorten and better integrate innovation cycles – from battlefield requirements to all key actors in defense ecosystems, including Western allies. Moderator Nadiya Vasilyeva, an expert at Brave 1 and CEO of the Digital Transformation Institute, emphasized a systematic approach to developing joint defense industry ecosystems, where all six components are essential:

1) clearly identified demand
2) the presence of R&D infrastructure
3) appropriate conditions (laboratories, testing grounds) for testing and validation
4) access to capital
5) conditions for production
6) access to global markets.

While the challenges faced by Ukrainian innovators relate more to the last three components, the first three are critical for Western partners – they often do not understand the demand, or the pace of integrating their own R&D and validating finished products is too slow.

“Carpathian Sea of Freedom” Conference. Photos courtesy of the organizers

The keynote presentation in this session, delivered by Martin Joesaar, Head of the European Defence Office, focused on the pathways for Ukraine’s full integration into the EU’s joint defense programs. First and foremost, this involves full access to the European Defense Fund (EDF), where dozens of new calls for proposals are available to Ukrainian organizations (with a total budget of over €1 billion). Together with other programs (EUDIO, EDIP, Horizon Europe, etc.), this creates unprecedented opportunities for Ukrainian DefenceTech innovators and will ultimately lead to the formation of much more integrated ecosystems and supply chains.

At the same time, it is already clear that success depends on the ability to quickly form joint projects and consortia.

A speech by Martin Joasar. Photos courtesy of the organizers

The presentation by Thomas Dodd from Denmark was very interesting. He successfully highlighted the profound differences in innovative approaches between Western and Ukrainian organizations. He emphasized that the biggest barriers to cooperation are organizational and procedural (rather than technological). Ukraine constantly and rapidly generates innovations but fails to scale them institutionally. Meanwhile, Western partners face significant challenges in their ability to quickly and fully integrate Ukrainian solutions.

Simply put, the West simply cannot keep up with the pace of change in frontline. Consequently, a new type of institution is needed between startups, the military, manufacturers, and EU programs. According to Thomas, there is a critical shortage of a specialized category of PMOs (specially trained project managers and corresponding offices) that could take on scaling roles.

Andriy Ostrev of the General Staff’s Central Innovation Directorate (CID) confirmed his department’s readiness to collaborate on all matters related to innovative developments. At the same time, he called on Ukrainian manufacturers to improve their level of cooperation—in many cases, fierce competition does not lead to greater efficiency in innovative development.

Dmytro Nikulin, the main organizer and sponsor of the conference in Truskavets, and also CEO of the startup Core Mission Essential, highlighted the numerous opportunities that exist today in cooperation between Ukrainian and Western partners, and emphasized the need for regular communication at such events. According to Dmytro, the results of these interactions in 2025 included several significant investments in defense startups.

Serhiy Korniychuk, former Chief of the General Staff and current CEO of NKEMZ, shared his vision for the long-term priorities in developing defense capabilities. The key tasks of the Armed Forces of Ukraine are focused on wearing down the enemy, protecting infrastructure, striking deep-seated targets, and disrupting logistics, which creates demand for specific technologies. Accordingly, the top priorities include the development of unmanned systems, long-range strike capabilities, electronic warfare, air defense, ammunition, maritime drones, and AI-based command and control systems. Serhiy emphasized the need to scale up domestic production as the foundation of defense resilience. The overall conclusion is that Ukraine’s effective defense strategy is based on a combination of rapid innovation, scaling up production, and deep international cooperation.

Violetta Moskalu, founder and CEO of KViTKA | GBH France (Franco-Ukrainian defense-tech & fintech corridor), demonstrated how France is ready to support the Ukrainian defense industry. France is one of the key hubs of the European defense market, with large budgets, political influence, and a deep industrial base that is actively expanding in the coming years. At the same time, despite available funding opportunities at the EU level, entering this market remains structurally challenging due to protectionism, long decision-making cycles, and regulatory barriers. A key constraint is the localization requirement and the 65% EU-made rule, which effectively makes the creation of joint ventures with European partners mandatory. The French defense industry, although dominated by major players, relies heavily on a network of SMEs and subcontractors, opening opportunities for the integration of Ukrainian companies. However, success depends not on technology, but on access to networks, trust, and a local presence. In this context, regional hubs such as Grand Est serve as effective entry points, bringing together industry, talent, and institutional support. The overall conclusion is that the key challenge is not creating innovations, but building “bridges” for their integration into European markets.

Conference participants. Photos courtesy of the organizers

Shared production and scaling chains

Oleksandr Yurchak moderated the second and third panel sessions, which focused on shared circuits and low-cost/high-volume scaling. Key points from the speakers

Marcus Chupek, Vice President of the Ukrainian-Czech Chamber of Commerce, highlighted the importance of trust when discussing the prospects for Czech-Ukrainian cooperation in the dual-use technology sector. A lack of trust is one of the main reasons why foreign investment does not flow into Ukraine, including in the defense sector, or why Ukrainian companies find it difficult to engage with Western organizations. Accordingly, this defines the role of chambers of commerce operating at the bilateral level, as well as clusters and associations—to foster the development of relationships and trust as the first step in building strong B2B relationships.

Ola Roch Jacobsen, CEO of Sage24-7 (Norway), briefly presented his company’s electronics manufacturing operations, which are already fulfilling orders in the defense industry. Developing European partnerships in this sector is a priority given the dominance of Chinese imports of electronics and components.

Iryna Vakarenko, Marketing Director at “Telekart-Prylad,” presented an example of a dual-use solution that addresses the specific need for lightweight, mobile, and effective protection against fragmentation hazards, which are rapidly increasing due to the use of UAVs. The proposed polymer-armored sandwich panels combine high protective effectiveness with significantly lower weight, which is critical for mobile shelters and specialized transport. The key innovation lies in the balance between protection, mobility, and compatibility with electronic systems—a typical challenge for modern defense solutions. The product is designed for a wide range of applications—from military to civilian (critical infrastructure, shelters, transport)—which enhances its dual-use potential. Such solutions demonstrate how Ukrainian companies can integrate into global supply chains through niche yet critically important components.

Yevhen Rokytskyi, CEO of the United Innovative Space Clusters (UISC), presented details of the European consortium ECDI, of which the UISC is a member alongside French, Spanish, and Polish clusters. The project has already sparked joint analytical and research efforts in the field of composite materials—in March, a delegation of Ukrainian manufacturers and clusters visited the JEC World exhibition. This year, the project will also launch voucher funding for drone manufacturers, and the first four Ukrainian companies are already receiving it. In September, ECDI is inviting UAV manufacturers to a conference in Cannes, aimed at sharing insights from Ukrainian users.

Yuriy Klymenko, CEO of the Vinnytsia Instrument Engineering and Industrial Automation Cluster, presented an ecosystem-based approach to defense innovation, in which the availability of necessary competencies and a willingness to collaborate are key factors. The model is based on intensive interactions between developers, manufacturers, and end users, creating two-way flows of knowledge, technology, and feedback. Particular emphasis is placed on collaborative R&D as the foundation for creating new solutions and rapidly adapting to changing needs. The ecosystem covers key technology areas—drones, AI, communications, cybersecurity, and infrastructure systems. Important components include investments not only in technology but also in people, education, and manufacturing infrastructure. The proposed model moves from local interactions to a full-fledged system of partnerships that supports a continuous cycle of development, testing, and implementation. The overall conclusion is that effective chains are created not through formal structures, but through flexible, results-oriented ecosystems of collaboration.

Yuriy Taras, director of Nova Innovative Company LLC, proposes a radically new approach to defense technologies, based on a shift from traditional systems to high-speed, autonomous, and more cost-effective next-generation solutions. The key innovation is the pulse detonation engine (PDE-RE), which significantly reduces cost, weight, and fuel consumption while simultaneously increasing efficiency. Based on this engine, new classes of systems are proposed—ranging from interceptor drones and “missile drones” to space launch vehicles and high-precision munitions. Particular emphasis is placed on the concept of non-lethal or contactless target engagement via resonant shock waves. The proposed model calls for moving away from large platforms (aviation, air defense) in favor of decentralized, mobile, and reusable systems. An important element is the integration of AI and autonomy to operate without constant communication. The overall conclusion is that the future of security is seen as a transition to cheap, mass-produced, autonomous, and physically novel principles of engagement.

Vyacheslav Levandovsky presented a solution for protecting infrastructure using non-lethal means. The developer analyzes the limitations of existing infrastructure protection systems—both traditional air defense systems and cutting-edge solutions (drones, lasers, railguns)—which do not provide adequate protection against modern threats. The main idea is to transition to non-lethal or combined systems of engagement, specifically through the use of electromagnetic pulses and microwave radiation to disable the electronics of targets. The proposed solution combines functional electronic warfare (to neutralize control systems) with a kinetic component as a backup layer of protection. The system is designed to counter UAVs, cruise missiles, and guided aerial bombs in the terminal phase of their flight path. Key advantages include relatively low cost, scalability, and integration into mobile platforms or infrastructure. The overall conclusion is that future infrastructure protection systems will combine electronic warfare, directed energy, and precision kinetic effects.

How to Scale: Approaches from UNIT

The discussion with Vasyl Kryvonos, UNIT’s chief engineer, was particularly interesting; he essentially presented a new business model for the defense industry market, one based on IT approaches and experience. Specifically, this model is characterized by

  • Extensive manufacturing outsourcing for component production, while the company retains leadership and distinctiveness in R&D, design, and final testing.
  • A strong focus on design quality, where errors can be identified or prevented at this stage.
  • Application of the “fail fast” principle—also at the modeling and early testing stages.
  • Contractor quality control is necessary, but it is not based on strict compliance with technical standards, but rather on a more flexible “sufficient level” assessment approach.

The discussion regarding the role of automation and digitalization in manufacturing deserves special attention. According to Vasyl, end products are evolving so rapidly that any significant investment in fixed automation lines designed for mass production will not pay off. The author of this article countered with arguments for a broader and more modern view of production process automation, noting that flexibility, modularity, and the use of modern Industry 4.0 technologies enable an exceptionally high level of end-product customization. The consensus in this discussion was that virtual models, simulation, digital twins, and maximum automation in design are a must right now, and these technologies are available to most manufacturers.

A speech by Vasyl Kryvonos. Photos courtesy of the organizers

This move can be seen as one indicator of the IT industry’s influence on the defense industry (UNIT has spun off from the IT sector). But in reality, there are many such examples, and this is a topic for separate studies.

“Ukraine no longer lacks innovation; rather, it is a source of innovation itself. We have solutions, engineers, speed, and unique experience in combat applications. The key problem lies more in the absence of a comprehensive scaling system. We lack a common architecture for the innovation ecosystem—institutions that ‘stitch together’ the elements (from idea to market), high-quality (bankable) projects for financing, and also rapid mechanisms for testing, validation, and scaling. Therefore, the next stage in development is building a system that enables the scaling of innovations—through financing, production, standards, and integration into the EU.” — Nadiya Vasilyeva, CEO of the Digital Transformation Institute

Key takeaways from the conference

For the UCA, this conference was a logical continuation of the previous mission to Saxony-Brandenburg, as it was there that we first observed numerous disparities between the structures of Western and Ukrainian industrial ecosystems in the defense industry sector. And the three key themes identified in Truskavets reflect these priorities of the integration processes. So, what conclusions can be drawn from the conference held on April 28?

1. The window of opportunity for Ukraine–EU integration is open, but time-limited

European instruments (EDF, EDIP, Horizon, and others) create unprecedented opportunities for the integration of Ukrainian companies into joint defense ecosystems. At the same time, competition for these resources is growing, and requirements for consortia and localization (EU content) make this process complex. On the part of Ukrainian companies, there is a noticeable lack of readiness to engage in complex and long-term projects.

This means that this integration will not happen “on its own”—it requires organized efforts from both sides, as well as the right combination of long-term and short-term incentives. Over the past year, we have seen significant progress in these areas, and leaders like Brave 1 are offering an increasing number of tailored tools.

2. The main barrier is not technology, but organization and collaboration

Ukraine has a strong position in rapidly generating innovations, while the EU excels in financing and scaling them up. The main gap arises at the levels of consortium formation, project management, and integration into institutional processes. In other words, the key issue is the “translation layer” between ecosystems, and the UCA fully supports Thomas Dodd’s (OPTIO) position on the need to train a specialized category of managers capable of facilitating this interaction within projects.

3. Clusters can become critical infrastructure for integration

Virtually all case studies show that entry into EU markets, access to partner networks, and the formation of relationships occur through trusted intermediaries who have access to companies on both sides and possess the capacity to stimulate these integration processes. And although the presence and participation of clusters in Truskavets this year was more noticeable compared to last year, only time will tell whether they will be able to take leading positions in various segments.

4. New joint supply chains are being created around niche components and dual-use solutions

New joint supply chains are formed not around basic components (where Ukraine is dependent), but around integrated solutions and application modules, where Ukrainian companies have a competitive advantage thanks to rapid development, testing, and adaptation to real combat conditions. Entry into these chains occurs through co-production and joint development models, as well as integration into European manufacturing ecosystems.

5. The future model of the defense industry is low-cost/high-volume and decentralized

The shift in the technological paradigm is evident:

  • from expensive platforms → to mass-market solutions
  • from centralized systems → to decentralized systems
  • from slow cycles → to rapid iterations

This model is virtually dominant in Ukraine, and EU partners need to accelerate this transition.

6. Scaling up is becoming a key bottleneck

The main challenge today lies not in developing technologies, but in the rapid transition to mass production, where access to capital and integration into supply chains are the top priorities. It is clear that innovations alone, without scaling up, have no impact on the battlefield.

“Ukraine today possesses unique potential in the field of innovative security and defense technologies. This goes beyond individual developments to encompass the creation of a comprehensive technological ecosystem capable of elevating the quality of defense, the economy, and international cooperation. Speakers at the “Carpathian Sea of Freedom” defense panel emphasized that Ukraine already has a significant number of promising solutions in most segments of the defense industry. However, the main challenge remains not only the development of each individual technology but the creation of a second level—an integration “matrix”—where these solutions work together. It is also important to note that a large number of the presented developments are dual-use technologies. And this is the foundation of a future economic breakthrough.” — Dmytro Nikulin, CEO of Core Mission Essential

A discussion of these conclusions, as well as the next steps in the collaboration among the forum participants in Truskavets, is scheduled to take place at a joint meeting on May 8.

The UCA Board sincerely thanks the organizers of the “Carpathian Sea of Freedom” forum and personally the team of Dmytro Nikulin for the opportunity to participate in the conference.

Oleksandr Yurchak, CEO of the Ukrainian Cluster Alliance

Explore
Drag