Kyiv, Ukraine – In a stark declaration from the heart of Ukraine’s burgeoning defense-tech sector, Iryna Terekh, CEO of leading arms manufacturer Fire Point, asserts that military strength is now an indispensable prerequisite for any diplomatic resolution to the ongoing conflict. Terekh’s company, a critical player in Ukraine’s strategic defense, currently facilitates an impressive 60% of the nation’s “long-range sanctions” – a euphemism for deep strikes into Russian territory.
Founded in 2022 following Russia’s full-scale invasion, Fire Point has experienced exponential growth. From a modest production of around 200 drones in its inaugural year – a feat Terekh described as a “huge achievement” – the Kyiv-headquartered startup has expanded from three founding members to over 7,000 employees. Terekh projects a realistic target of producing more than 100,000 drones by the end of the year.
“We have to understand that we live, unfortunately, in the same timeline with a completely barbarous, imperialistic neighbor and we can expect whatever,” Terekh told CNBC in a video call. Reflecting on pre-invasion sentiments, she added, “Unfortunately, I was in that naïve state of mind before the full-scale invasion that we will find a way to de-escalate the situation and find a diplomatic way to deal with this, but from what we can observe, this is not something that is possible.”
The Kremlin has previously framed the conflict as an endeavor to reverse Russia’s post-Soviet retreat and restore Moscow’s superpower status, as previously stated by Russian President Vladimir Putin. Russia’s Foreign Ministry did not respond to CNBC’s request for comment.
Ukrainian workers utilize 3D printing and carbon fiber at a clandestine factory to assemble and fit wings, components, and fuselages of FP-2 drones, manufactured by the Fire Point defense company. These drones are deployed for deep-strike attacks within Russia, targeting energy infrastructure and military logistics hubs. Photographed on July 17, 2026, at an undisclosed location in Ukraine.
Scott Peterson | Getty Images News | Getty Images
Ukraine’s aggressive drone campaign, reaching as far as Siberia and occupied Crimea, has ignited discussions about a potential shift in the war’s momentum. However, experts have cautioned that escalating costs for Russia through these strikes could also lead to further escalation of the conflict.
Some analysts, including Christopher Isajiw of the Atlantic Council, have questioned the sole efficacy of drones in compelling Putin to negotiate, suggesting that peace may only materialize when the continuation of the war becomes more detrimental to the Russian president than its cessation.
Ukraine Calls for Ballistic Missile Interceptors Amid Intensifying Conflict
In recent weeks, Ukraine has intensified attacks on Wildberries, Russia’s prominent e-commerce giant, aiming to exert pressure on a critical segment of the Russian consumer economy. Simultaneously, Russian forces have increased missile strikes on Ukrainian cities, exploiting Kyiv’s acknowledged shortage of ballistic missile interceptors.
Fire Point, known for its flagship FP-1 series deep-strike drones and the FP-5 Flamingo cruise missile, is committed to bolstering Ukraine’s deep-strike capabilities. “I’m very proud and I feel a huge responsibility to be a big part of this. We have to understand that the whole war doctrines are changing live in the moment,” Terekh affirmed.
This photograph displays an FP-5 Flamingo cruise missile alongside an FP-1 drone from the Ukrainian defense technology company Fire Point. The armaments were showcased at Eurosatory, a land and airland defense and security trade fair, held in Villepinte on the outskirts of Paris on June 16, 2026.
Julien De Rosa | Afp | Getty Images
Ukrainian President Volodymyr Zelenskyy hailed Fire Point for placing Siberia “within reach of Ukrainian precision” following a significant attack on an oil refinery in Omsk, Russia. This incident underscored Kyiv’s growing long-range drone capabilities just ahead of a pivotal NATO summit in Turkey. At the summit, U.S. President Donald Trump initially indicated U.S. support for Ukraine to produce ballistic missile interceptors.
However, Trump has since cast doubt on plans for Kyiv to domestically and European-manufacture Patriots, causing alarm among Ukrainian officials who anticipate a challenging winter assault. Zelenskyy has repeatedly urged international partners to expedite ballistic missile interceptor supplies, emphasizing that such technology could have prevented casualties in Kyiv on August 5.
Fire Point is striving to develop a ballistic missile interceptor at a fraction of the cost of a U.S.-made Patriot system. Terekh acknowledges the immense challenge, noting that these efforts require achieving in a few years what typically takes two to three decades.
Further hindering production, European funding delays have impacted Fire Point’s Flamingo cruise missile output. “The production of Flamingo is not running at full power [at] the moment because we were waiting for the funds for a European loan to come in but we expect to ramp it up to expected maximum capabilities that we named when we started the Flamingo production,” Terekh explained.
Fire Point CEO: Europe’s Red Tape a Strategic Threat
Terekh has provocatively likened European bureaucracy to the immediate security threat posed by Russian forces. While acknowledging the dramatic nature of her statement, she emphasized the need for it to be heard. “Whatever Fire Point achieved, and as well as other Ukrainian manufacturers, would be never possible in any [other] European country, simply because of bureaucracy,” Terekh stated.
“You take the same people, the same money, the same factories, they would simply not be working in Europe for one simple reason, because of the hold of regulations and I would love to inspire European politicians to review how the bureaucracy should work under such a huge threat that we are all facing now,” she continued. “When we compare these two threats, so the Russians and the bureaucracy, with the Russians you can fight with drones and missiles but how do you fight with bureaucracy when you cannot receive a paper that you need very much to do some job?”
Co-owner of drone manufacturer Fire Point Denys Shtilerman, Chief Technology Officer of Fire Point Iryna Terekh, and co-owner Yehor Skalyha attend a press conference for the company Fire Point on November 21, 2025, in Kyiv, Ukraine.
Global Images Ukraine | Global Images Ukraine | Getty Images
A spokesperson for the European Commission declined to comment on Terekh’s remarks. Alongside comprehensive diplomatic, financial, military, and humanitarian aid to Ukraine, the EU recently implemented its most extensive sanctions package against Russia in four years. This package targets nearly 220 individuals and entities, aiming to cripple Russia’s economy and its ability to sustain the full-scale invasion.
“Ukrainians were pretty imaginative in trying an alternative strategy,” Alex Kolyandr, director for Europe at the Eurasia Group, commented to CNBC. While questioning the initial strategy of striking Russian oil facilities in March and April, Kolyandr praised the subsequent shift. “I think it was extremely smart to target refining facilities and the main retail company,” he said, referring to the attacks on Wildberries warehouses. “I understand there was a twofold aim in all that. First of all, to force some economic damage and then to broadcast the message that this is not some kind of faraway colonial war, but it is something much closer to home. And honestly, they are quite successful in that,” he concluded.
