The Ukrainian drone ammo shortfall

There are a vast number of drones in Ukraine, all demanding munitions for battlefield use. Here’s how the sector is set up, its challenges, and Ukrainian innovations in this space – all building towards a more explosive 2025.

BLUF: A global shortage of explosives is pushing Ukraine to build its own manufacturing lines. Less than five companies are currently making explosives in small workshops. Here’s how they’re coping. Also, Ukraine’s MoD codified the new Fury Pro drone. And Kara Dag describes its strategy for removing Chinese components from its builds.

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THE BIG STORY: AMMUNITION SITUATION 

Shortfalls in traditional weaponry pushed Ukrainians to use civil drones for military goals, but this mass adoption has outpaced ammunition production. 

There have been numerous videos of Ukrainian soldiers sawing artillery shells to get the warhead and use it for drones. For example, one video from Ukrainian media shows how soldiers are making their own ammunition:

Types of ammunition for drones

Using power tools to reconfigure high explosives obviously endangers soldiers. Ideally, Ukraine would see the expansion of more professionalized — and safer — manufacturing of drone-specific ammunition. 

The types of ammunition needed are divided into three large groups, which require different approaches to produce:

  • ammunition for FPV drones;

  • munitions for Mavic-type or bomber drones;

  • warheads for deep-strike drones.

The shells themselves have a number of different charges, including:

  • high-explosive fragmentation;

  • shaped charge, which forces the explosion in a single direction — especially useful for penetrating tank armor;

  • thermobaric, which disperses an aerosol cloud of gas and sets it on fire; and

  • fragmentation-cumulative, which first penetrates the target like a shaped charge and then explodes like a fragment charge.;

Two materials make up the bulk of explosives used in drone ammunition, C4 and TNT, in varying combinations. 

The most expensive and best option is C4, said Ivan Poberezhniak, head of the procurement department at the Come Back Alive Foundation. The cost of C4 per kilogram is about $260. For instance, optimal ammunition for a 7” drone is 800 grams, in that case it might have 150-250 gram of explosive, depending on the type of warhead. 

Blasting caps are also in short supply, as the government is the only major manufacturer.

“The Ukrainian state-owned plant produces them, but it's probably not enough capacity. The military often asks us to send them capsule detonators because they are in great need,” explains Ivan Poberezhniak.

For now, the waiting period to buy blasting caps has been reduced from 3 months to several weeks, said Ihor Fedirko, advisor to the minister for strategic industries. That agency prioritizes orders for firms that have contracts with the Ministry of Defense.

Deregulation at the beginning of autumn this year streamlined the industry. New companies can now get permission to produce explosives in a matter of months rather than a year or more, through an approval system on Ukraine’s online Diia portal. 

Since then, more than 10 companies have emerged, with plans to produce explosives. Currently, no more than five companies have already organized production in small workshops that can be scaled up, said Fedirko

“If we are talking about product range, [they are producing] TNT, RDX [hexogen], HMX [octogen] compounds.” said Fedirko. “We are incredibly hopeful for them in 2025.”

Different types of ammunition require different manufacturing methods. 

  1. Fully-loaded ammunition includes explosive, blasting cap and tail, if needed. All that needs to be done before use is to twist the two parts together. 

  1. A cold munition is not equipped with explosive materials initially. The shell’s body could be 3D printed or made by casting or stamping a metal. It still needs explosives and a detonator capsule, which will be added in the rear by sapper, an explosive specialist.

The Ministry of Defense has tested and codified more than 115 types of ammunition for drones, with 50 more in process. To compare, three months ago there were only 75 varieties of drone ammunition codified. 

Why a Ukrainian ammunition maker has to get codification

Technology in the Russian-Ukrainian war changes every few months, but the process of codifying new types of munitions can take longer because of safety testing. 

“If we have 100,000 rounds of ammunition in our warehouse and even one of them detonates, we will cause a tragedy.” explains Fedirko. “And to prevent that from happening, all these safeguards must be in place. They have to go through all the stages of codification, verification, quality, and so on.”

Ammo codification includes a whole battery of testing, including the fact that a box containing ammunition must be able to withstand a fall from a height of 3 meters onto concrete without detonating, Poberezhniak said.

On the left is a warhead for the drone, on the right are traces of the test. Photos provided by Spetechnoexport, a Ukrainian state-owned enterprise specializing in the export-import of military-use products, to Counteroffensive.Pro

Ukraine’s innovations in this sector:

The large number of Russian reconnaissance drones pushed developers to create FPV drones that can take them down. Such munitions are set off through a switch that the drone operator controls. They can take out a Russian UAV if they get within two meters, said Roman, founder of an ammunition plant for FPV drones. 

In targeting Russian drones, operators aim to tear off the wing and destroy the frame. Fedirko said that analysis of downed Shahed drones showed that they can take quite a beating and keep flying.

The next stage of munition production is in precise, long-range strikes. Drones can drop shells deep inside enemy territory. Munitions can be equipped in a capsule with electronics that make it highly accurate, said Andrii Romanenko, CEO of the startup Deftak, which is developing smart capsules for drone munitions. 

The electronics inside can be quickly redesigned for each specific type of warhead in a few weeks. Currently, they’re in the process of codifying their electronics with the Ministry of Defense. Romanenko believes that this process will be finished in a few months. For now, Deftak is focused on two types of projectiles: 1.4 and 0.4 kg with whole weight up to 5 kg.

Guided ammunition for drones. Photo by Counteroffensive.Pro

Still other developments in Ukraine’s munitions independence are happening at the literal ground level. In October, the Ministry of Agricultural Policy announced the first harvest of an experimental crop of cotton, the raw material for most gunpowder. Ukrainian farmers haven’t cultivated cotton in decades, but in theory it can grow on some 10,000 hectares of Ukrainian land. 

BUSINESS LUNCH TOPICS: What our reporting shows!

  1. Ukrainian startup Fury passes MoD codification for ‘Squad Fury Pro’ bomber:

The drone has a payload of up to 15 kg and a range of up to 20 km. It has a secure GPS system and dynamic frequency hopping for communication. The military is already actively using the drone for strike and logistics operations. Depending on the type of ammunition, they can change the drop module. The drone is capable of dropping a TM-62 anti-tank mine, thermobaric and other types of ammunition, said Mykhailo Dziuniak, founder of Fury. In the event of enemy electronic warfare, the drone can return to its launch site while disconnected from its pilot.

Fury Pro drone bomber. Photo by Counteroffensive.Pro

“We currently produce about 20 drones a month. We are waiting for an order from the Ministry of Defense,” said Dziuniak. 

  1. Procurement changes under consideration by the Cabinet of Ministers

The Temporary Special Commission on Protecting Investor Rights has prepared suggested changes to Order No. 1275 on defense procurement. It consists of 7 proposals, with four being crucial to apply, according to head of the commission Halyna Yanchenko:

  • determination of force majeure circumstances;

  • limiting the maximum amount of the penalty of the supplier's remuneration;

  • issues of exchange rate differences on the fulfillment of contract;

  • payment of supplier remuneration in installments.

We will update as developments occur on this in the future.

  1. Production of drone detectors without Chinese components: 

Kara Dag Tech, a Ukrainian drone detector company, showed us their production line. They are working to remove all Chinese components from its technology, with only one circuit board left.

Drone detector Obrij 1.3 can be used with an app for your phone, plus a device that will intercept an enemy drone’s video feed. Photo by Counteroffensive.Pro

“What does China-free mean? It means that there are no chips that were designed in China. Were any operations done in China? That's another question.” said Ivan Frankiv, CTO at Kara Dag Tech. “We have a strategy that everything we do should have a duplicated version somewhere else.”

Chinese components have a 10% rejection rate, said Frankiv. His company will build new versions of drone detector Obrij 1.4 with Western or Taiwanese components.

ON THE MOVE: Professional movement, promotions and industry news.

Know someone in the defense tech space who has made a professional move? Drop us a line at [email protected]! 

  1. Ukrainian company TAF Drones is hiring a sales manager.

  2. Farsight Vision, a Ukrainian-Estonian startup developing an intelligence and situational awareness platform for Ukraine, is looking for a QA Engineer and Python-engineer.

We offer consulting and custom research services. Need talented experts on the ground to answer a due diligence or business question? We’ve got you covered! Email us here!

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