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U.S. offers to compensate Ukraine's losses following curtailment of military-technical cooperation with Russia

25-06-2014 17:22

The United States is weighing plans to expand military-technical cooperation with Ukraine and to compensate part of the Ukrainian defence industry's losses following the curtailment of Ukrainian-Russian military-technical cooperation.

Ukrainian-American military-technical cooperation was discussed in talks in Kyiv between Deputy Assistant Secretary of State for Regional Security and Security Assistance Gregory Kausner and representatives of Ukrainian profile organizations, Interfax-Ukraine has learned from informed sources. "The aid package proposed by the U.S. includes Ukraine's broader military-technical cooperation with the United States and the European Union, as well as assistance and interaction in implementing Ukraine's military-technical cooperation projects on the markets of third countries," a source told Interfax-Ukraine. "Another option, mostly intended for the Ukrainian defense-industry sector, is the placement of Western repair orders with Ukrainian defense companies in compensation for the losses suffered after military-technical cooperation with Russia was curtailed," the source said. Ukrainian President Petro Poroshenko told the National Security and Defense Council last week that military-technical cooperation with Russia would be banned, including exports of dual-purpose products. In the estimate of Ukrainian military experts, Ukraine's losses involved will not exceed $300 million annually. Russia's share in Ukraine's arms and special services exports does not exceed 15%, the experts said.