In 2025, the IT sector provided 41.6% of Ukraine's service exports, yet the German market remains underexploited
Ukrainian IT companies face barriers when entering the European Union market despite high demand for technological expertise. Experts identify four key obstacles preventing long-term contracts with European clients. This was reported by Economichna Pravda, according to the portal PromPolitInform.
A study involving 33 experts from 11 EU countries confirmed that the European Union has a significant dependence on external digital technologies. The greatest need is observed in big data, cybersecurity, semiconductors, and cloud computing, particularly within the energy, logistics, and defense sectors. Ukraine possesses the necessary competencies in these areas, including artificial intelligence, unmanned systems, and robotics, allowing it to position itself as a key technological partner.
Challenges for Ukrainian exports
Despite wartime conditions, in 2025, the domestic IT sector provided services worth 6.67 billion dollars. However, the United States remains the primary market, while the largest economies in the European Union, including Germany, are still not fully covered by Ukrainian companies. The main restraining factors are security risks, difficulties in securing staff for long-term projects, and restrictions on travel for executives to attend business meetings.
Another significant obstacle remains access to capital and the rigidity of the banking system. Traditional financial institutions are reluctant to lend to IT businesses, as intellectual property and code are not always recognized as liquid collateral. Another challenge is adapting to European legislation, specifically the AI Act, GDPR, and NIS2 requirements, which necessitate significant investment and specialized expertise.
Mechanisms for enhancing cooperation
Currently, the booking mechanism for critical personnel and the preferences of the Diia.City legal framework, which hosts approximately 4,700 companies, have become effective support tools. To further develop exports to the EU, several steps are proposed, including extending state guarantees for loans secured by future contracts and intellectual property.
Another important direction is the establishment of national competence centers to provide consultations on European regulations. Combining the efforts of the government, business, and European partners regarding energy resilience and stabilizing rules for business travel could significantly lower distrust from clients and pave the way for large-scale cooperation.
Photo: Economichna Pravda
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