Ukrainian Drone Manufacturer UDD Selects Northwest Ohio For First U.S. Assembly and Manufacturing Center

Estimated reading time: 5 minutes

Ohio Governor Mike DeWine, JobsOhio and Ukrainian Defense Drones (UDD) announced that UDD has chosen Northwest Ohio for its first major U.S. assembly and manufacturing center after it received its first Pentagon contract. UDD, the U.S. company representing Ukraine’s F-Drones, is expected to make a multimillion-dollar investment in the new production project in the Village of Holland, creating at least 300 new jobs.

The Lucas County facility will support U.S. and allied demand for first-person-view drones, unmanned systems, training and testing, and dual-use commercial applications. The project is structured around production, workforce development, supply-chain localization, hardware and software integration, customer demonstrations, and long-term U.S. expansion.

“There is no better place than Ohio for our allies to build the technology that strengthens our national defense, and UDD’s decision to invest here means 300 new jobs for the people of Lucas County,” said Ohio Gov. Mike DeWine. “This investment strengthens our economy and the manufacturing base that our nation’s security depends on.”

"Becoming the first Ukrainian drone manufacturer authorized by the Government of Ukraine to export drone systems to the U.S. military is a historic milestone, and the next step is to share the technology to produce these drones on American soil. We're proud to support the vision behind the emerging U.S.–Ukraine Drone Deal and to help strengthen the security and technological leadership of both our nations," said Stas Khutor, CEO of F-Drones.

Driving the process, which ultimately attracted UDD to Northwest Ohio was the U.S. Department of War’s Drone Dominance Program, a $1 billion plan to accelerate growth of the U.S. industrial base and rapidly arm combat units with low-cost, consumable drones at scale. By 2027, the Program intends to purchase over 200,000 drones that can produce lethal effects in the toughest battlefield environments.

"An all-hands-on-deck approach won the day after our sustained engagement to attract one of the leading manufacturers of unmanned systems, UDD – the US arm of Ukraine's F-Drones – to start assembly in Northwest Ohio,” said U.S. Rep. Marcy Kaptur (OH-09), Co-Founder and Co-Chair of the Congressional Ukraine Caucus. “UDD is on the cutting edge of drone technology and defense innovation, and its systems are battle-tested on the frontlines of Liberty defending the free people of Ukraine from Dictator Vladimir Putin's merciless invasion.”

Competing with F-Drones' combat-proven F10 platform, UDD ranked sixth overall in the first phase of the Drone Dominance Program's Gauntlet, securing a U.S. government prototype contract for the delivery of 2,000 first-person-view drones. F-Drones has more than three years of wartime operating experience, with technology that has been developed, tested, adapted and deployed under real battlefield conditions in Ukraine. The U.S. and allies now need scalable, affordable and secure drone production. And combat-proven systems are moving faster than traditional defense procurement cycles.

"Ukraine did more than adapt to drone warfare — it helped invent it. We were the first in the world to turn drones into a tool of national defense, to refine them under fire into something close to perfection, and to make them the backbone of our ability to hold the line against a far larger aggressor. The lessons learned here are now shaping the future of modern warfare. At F-Drones, we believe these hard-won capabilities should strengthen not just Ukraine but the entire free world — our mission is simple: Making the Free World Unbreakable," Khutor added.

UDD’s decision adds to a growing roster of global aerospace and defense innovators establishing operations in Ohio. From Anduril to Joby Aviation, and now UDD, companies building the technologies that strengthen the U.S. economy and help protect the nation are increasingly choosing the state — drawn by a combination of world-class manufacturing, engineering talent, research institutions, military partnerships and testing capabilities that are difficult to replicate elsewhere. Each new investment reinforces Ohio’s position as a national leader in advanced aerospace and defense manufacturing, reflecting how much of the innovation underpinning America’s defense industrial base is now taking root in the state.

The project underscores Ohio’s growing role as a national platform for hyper-scaling advanced manufacturing in support of national security. Backed by one of the country’s deepest aerospace and defense ecosystems — anchored by assets such as Wright-Patterson Air Force Base — Ohio gives defense innovators the infrastructure, talent and speed-to-production needed to arm U.S. and allied forces at scale. Foreign direct investment is central to that mission: by helping allied companies such as UDD localize production on American soil, Ohio strengthens the domestic industrial base, creates high-value jobs and reduces U.S. reliance on overseas supply chains for critical defense technology.

“Ohio gives defense innovators everything they need to move from innovation to production at scale — an exceptional workforce, a deep manufacturing supply chain and the speed to deliver the products needed to arm U.S. and allied forces,” said JobsOhio President and CEO J.P. Nauseef. “Together with our partners at the Regional Growth Partnership, we welcome UDD’s decision to onshore production in Ohio. This investment strengthens America’s defense industrial base, secures critical manufacturing on U.S. soil, and reinforces Ohio’s leadership in advanced aerospace and defense manufacturing."

The investment also reflects how Ohio’s Advanced Air Mobility (AAM) industry empowers companies developing the next generation of flight — from electric vertical takeoff and landing (eVTOL) aircraft to the unmanned systems UDD will produce in the Toledo region. Building on Ohio’s legacy as the Birthplace of Aviation, the state pairs deep aerospace manufacturing strength with the testing infrastructure, dedicated airspace, Beyond Visual Line of Sight (BVLOS) capabilities and research partnerships that let unmanned and autonomous aircraft companies move from prototype to production without leaving the state. Anchoring the AAM sector is the National Advanced Air Mobility Center of Excellence (NAAMCE) in Springfield — an Ohio-led, public-private hub that accelerates testing, workforce readiness, infrastructure planning and regulatory coordination for AAM and unmanned systems, positioning the state as a premier proving ground where new aviation technologies are developed, integrated, scaled and commercialized.

U2D2 Corp. (U.S.-Ukraine Drone Dominance) has served as the site selection and U.S. market entry lead for identifying where Ukrainian defense technology companies can establish American operations. Its model is focused on helping battlefield-proven Ukrainian companies enter the U.S. market, compete for U.S. and allied demand, localize supply chains, and scale production outside of Ukraine.

“U2D2 has the honor to assist over a dozen Ukrainian and Eastern European companies cumulatively producing more than 10,000 drones per day, that have elected to become part of the Department of War Drone Dominance program. UDD’s Ohio facility is just the beginning. We believe that Ohio will become a vertically integrated manufacturing hub for all types of unmanned systems and their components,” says Rear Adm. (Ret.) Michael Hewitt, U2D2’s Chairman.

This was not a traditional site-selection project. It was a strategic effort to bring some of the world’s best battlefield-proven technology to the United States, and to prove that Northwest Ohio can compete for the next generation of defense, aerospace, and advanced manufacturing, according to Darren Moore, a global business executive, decorated veteran, and elected Ottawa Hills Council member whose relationships at the national and international levels helped bring the project to the region.

“For scaled manufacturing, workforce, cost structure, logistics and access to the American market, Northwest Ohio is the right platform for this project,” Moore said.

Supporting that, Northwest Ohio provides a deep manufacturing base whose highest and best use for unmanned systems companies is scaled manufacturing. In addition, this project creates opportunities for regional suppliers in machining, fabrication, electronics, plastics, packaging, logistics, testing, training and workforce development. The long-term goal is not only to assemble drones in Ohio but also to localize more of the supply chain over time.

This project further elevates Toledo and Northwest Ohio as a U.S. manufacturing hub for drones and unmanned systems. This region has more than 130,000 people working in the advanced manufacturing sector with a GRP of $11.6 billion, representing 24% of the state total.