Negotiations between Greece and Ukraine to co-produce Ukrainian-designed maritime drones in Greece have hit a significant obstacle.
According to Greek media outlets, Ukraine is demanding veto power over how the Greek Armed Forces deploy the jointly manufactured weaponry, a condition Athens has firmly rejected. The claims have not been officially confirmed by Greek or Ukrainian authorities.
The proposed agreement, initially brokered in November 2025 by Greek Prime Minister Kyriakos Mitsotakis and Ukrainian President Volodymyr Zelensky, aimed to establish a local production line for unmanned surface vehicles (USVs) at Greek shipyards.
Greece and Ukraine balancing their cooperation on a…Turkish thread
Finalizing the contract has stalled because Ukrainian officials submitted clauses restricting the tactical deployment and potential resale of the technology. The dispute is directly tied to Ukraine’s delicate geopolitical balancing act with Turkey.
Ukraine wants to ensure the combat systems it developed are not utilized against Turkish naval forces in the Aegean or Eastern Mediterranean. Turkey remains a vital defense and diplomatic partner for Ukraine as Ankara supplies Kyiv with Ada-class corvettes and holds immense strategic leverage as the NATO member controlling Black Sea access under the Montreux Convention.
Greece’s defense officials maintain that sovereign military assets cannot operate under foreign-imposed restrictions, particularly during active military engagements. If Athens accepts the veto clause, the primary utility of acquiring the maritime drones for Hellenic Navy operations would be entirely neutralized.
Despite the current impasse, the talks have not collapsed entirely. Greece’s military officers previously traveled to Ukraine to conduct extensive technical evaluations of the program. The planned joint venture would integrate Ukrainian combat-tested hulls, engines, control systems, and software with Greek optics, electronic systems, and optional warheads.
Greece is eager to finalize a reliable USV solution to address a growing capability gap with its eastern neighbor. Turkey’s domestic defense sector has rapidly advanced its unmanned naval programs. Ankara currently fields the ULAQ 12 anti-surface warfare platform and the ULAQ KAMA kamikaze drone, which boasts a manufacturing capacity of up to 100 units annually. Defense giant Aselsan also produces the Albatros-S, highlighting a clear area where Greek naval procurement has lagged.
The drone co-production initiative represents an evolution in Greece-Ukraine defense relations, shifting the focus from direct military aid toward industrial cooperation between the two European nations. Athens has previously transferred older, operationally surplus defense equipment to Ukraine via the United States, Germany, and the Czech Republic, a process that has generated approximately €500 million ($586 million) for Greece. Negotiators from both nations are now assessing whether a compromise can be reached that satisfies Ukraine’s strategic concerns without compromising Greek military sovereignty.
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