Strengthening Control Over Localization In Procurement

On 11 October 2025, Resolution of the Cabinet of Ministers of Ukraine No. 1293 dated 10 October 2025 came into force, aimed at introducing changes to strengthen control over compliance with localization requirements in public procurement. From now on, manufacturers wishing to supply products to the state through the Prozorro system must confirm that at least 25% of the cost of their goods is composed of Ukrainian content.

This Resolution amends:

  • The Procedure for the Functioning of the Electronic Procurement System established by Resolution of the Cabinet of Ministers of Ukraine No. 166 dated 24 February 2016;
  • The Procedure for Confirming the Degree of Localization of Goods established by Resolution of the Cabinet of Ministers of Ukraine No. 861 dated August 2, 2022.

The new rules aim to prevent fake localization, when almost finished products are imported, minimally modified in Ukraine, and presented as domestically produced. The mechanism ensures real protection for Ukrainian manufacturers, stimulates domestic production, and supports the “Made in Ukraine” policy.

To include products in the list with confirmed localization, manufacturers must submit:

  • a copy of Appendix 4ДФ for the previous year, including information on income, taxes, military levy, and unified social contributions;
  • a certificate of technological operations performed during production;
  • a copy of the product sample testing protocol issued by an accredited laboratory;
  • a confirmation of the availability of material and technical resources, equipment, and personnel.

The Ministry of Economy, Environment, and Agriculture of Ukraine has received expanded powers to oversee compliance and now has the authority to:

  • verify the completeness and accuracy of the information provided,
  • analyse the documents on which the products were included in the list,
  • perform automated verification of applications through the web portal,
  • inform the commission overseeing the activities of the electronic procurement system in case of inconsistencies.

Localization in public procurement sets a minimum share of Ukrainian content in the cost of procured goods. The localization mechanism ensures that public funds are directed to support national production, create jobs, and promote industrial development.

  • In 2025, the minimum share is 25%;
  • in 2026, it will increase to 30%, and thereafter it will grow by 5% annually until reaching 40%.