Belfast Factory Secures Major Deal to Provide Missiles to Ukraine

New contract highlights UK commitment to Ukraine's defense against threats.

The Thales missile factory in Belfast, a prominent player in Europe's arms manufacturing sector, has secured a massive contract to supply 5,000 air defense missiles to Ukraine, as announced by Prime Minister Sir Keir Starmer. This landmark deal, valued at up to £1.6 billion, is set to generate 200 new jobs at the facility.

The contract focuses on lightweight multirole missiles (LMMs), already deployed by Ukrainian forces. Prime Minister Starmer unveiled this order while outlining a strategic four-point initiative aimed at fostering peace and bolstering Ukraine’s defense capabilities. Previously, a smaller order of 650 LMMs was placed in September, marking the beginning of increased production, with deliveries having commenced last December.

The latest agreement is substantial, starting at £1.16 billion and potentially expanding by an additional £500 million through collaboration with a local Ukrainian industry partner. This partnership will facilitate the manufacturing of missile launchers and command control vehicles within Ukraine, further enhancing its defense infrastructure.

The Ministry of Defence emphasized that this contract represents the largest order ever for the Thales facility in Belfast. Defence Secretary John Healey articulated that the deal is crucial for safeguarding Ukraine from diverse aerial threats and serves as a deterrent against future Russian offensives following any resolution in the ongoing conflict. The procurement process was executed by the MoD's Defence Equipment & Support on behalf of the Ukrainian government and is backed financially by a loan guaranteed by United Kingdom Export Finance (UKEF), part of a broader £3.5 billion support arrangement agreed upon the previous year.