Armin Papperger, CEO of German armaments company Rheinmetall, has expressed concerns over bureaucratic delays in Ukraine, stating that securing approvals for new production facilities is taking longer than expected.
In an interview with Deutsche Welle, Papperger diplomatically pointed out that establishing manufacturing plants in Germany has proven to be faster due to streamlined administrative processes.
“We build factories faster in Germany than in Ukraine. The reason is that bureaucratic barriers in Germany have been almost completely removed. For example, for a factory producing components for the F-35 fighter jet and the largest ammunition plant in Europe in Lower Saxony, we received permits within just a few weeks. In Ukraine, the process is currently moving more slowly,” Papperger said.
Despite these challenges, he acknowledged progress in cooperation with Ukrainian authorities. “Overall, collaboration with the Ministry of Defense and the Ministry of Industry of Ukraine is developing well. Additionally, the President of Ukraine is actively involved in decision-making and supports progress,” he added.
Similar concerns about bureaucratic obstacles were previously raised by Haluk Bayraktar, CEO of Turkish drone manufacturer Baykar. In a January 2023 interview with journalist Natalia Moseichuk, Bayraktar noted significant hurdles in securing a connection to the power grid for the construction of a drone production facility in Ukraine.
“To build a factory, we need to connect to the power grid, and they say it will cost $10 million and take two years. How does that sound to you?” Bayraktar stated at the time.
He compared this to procedures in Turkey, where such a connection is free and typically completed within one to two weeks. “Connecting to the grid should not happen this way. You can’t wait two years for electricity while people are fighting right now, and the President of Ukraine is working hard to address this issue. We try to focus on the efforts of the Ukrainian nation rather than these negative moments, but they need to be resolved transparently and as quickly as possible,” he added. However, Bayraktar clarified that while he informed Ukrainian authorities of the situation, he would not seek special intervention.
Since then, all issues have been resolved, and Bayraktar confirmed that Baykar’s drone factory in Ukraine will be operational this year. The facility is expected to produce Bayraktar TB2 drones or the heavier TB3 variant, designed to carry greater payloads.
As foreign defense firms continue to invest in Ukraine, overcoming bureaucratic hurdles remains critical for ensuring the timely establishment of new defense production capabilities amid ongoing security challenges.