PBS, Airlogix Plan Jet Engine Production in Ukraine

Czech aerospace manufacturer PBS GROUP and Ukrainian drone company Airlogix signed a memorandum on July 21, 2026, covering the licensed or joint production of PBS jet engines directly in Ukraine. The agreement also calls for Airlogix drones powered by PBS engines to be manufactured in the Czech Republic, initially for the Ukrainian market.

The companies announced the partnership during the Farnborough International Airshow 2026 in the United Kingdom. The agreement establishes a two-way industrial model that could bring Czech propulsion manufacturing into Ukraine while moving production of Ukrainian unmanned systems into the Czech Republic.

PBS engine production will be localized in phases

The Ukrainian side plans to localize PBS engine production gradually rather than establish full manufacturing capacity immediately.

The first phase is expected to include an engine assembly facility and a certified service center in Ukraine. The partners then plan to expand into deeper local manufacturing as the program develops, while work continues on a formal licensing agreement.

PBS GROUP did not identify which engine models would enter Ukrainian production in its announcement. The company also did not disclose planned production volumes, investment figures or a timetable for reaching full local manufacturing.

That leaves the precise scale of the project open, but the industrial objective is clear. The partnership is designed to move at least part of the propulsion supply chain closer to Ukrainian unmanned aircraft production and operational demand.

PBS currently offers a range of small turbojet engines including the TJ40, TJ80, TJ100, TJ150 and TJ200. At Farnborough, the company presented its propulsion portfolio primarily for unmanned aerial vehicles, combat unmanned aerial vehicles and other specialized aerospace applications.

Airlogix drones could also be produced in Czech Republic

The second part of the agreement reverses the direction of industrial cooperation.

Airlogix drones equipped with PBS propulsion are planned for production in the Czech Republic, initially to meet Ukrainian requirements. PBS described the arrangement as combining its aerospace propulsion expertise with Ukraine's rapidly developing unmanned systems industry.

The structure could give Airlogix an additional production base inside a NATO and European Union country while giving PBS closer involvement with Ukrainian unmanned aircraft manufacturing.

Airlogix develops unmanned aerial systems including the Gor reconnaissance UAV. However, neither company has confirmed which Airlogix platform will receive the engines covered by the new localization agreement.

The memorandum therefore covers more than an engine supply contract. It creates a framework for technology transfer, local assembly, servicing and eventually deeper production of propulsion systems inside Ukraine.

Ukraine gains another route to local UAV propulsion production

Propulsion has become an important part of the industrial base supporting increasingly capable unmanned aircraft.

Ukraine has rapidly expanded domestic drone production since Russia's full-scale invasion began in February 2022, while also developing partnerships with foreign suppliers to localize components and increase production capacity.

Local production of small turbine engines could reduce dependence on engines delivered as complete systems from abroad. Establishing servicing capability inside Ukraine could also shorten maintenance and logistics chains for platforms using PBS propulsion.

The PBS-Airlogix agreement comes as Czech and Ukrainian defense companies deepen cooperation on unmanned systems and propulsion. In June 2026, Ukrainian Armor and Czech company AviaNera Technologies also announced a partnership covering the supply and localization of engines for drones and missiles.

For PBS, the Airlogix agreement expands a manufacturing strategy that increasingly extends beyond its main production base in Velká Bíteš, Czech Republic.

The company has also expanded production in the United States, creating a broader manufacturing footprint as demand for small turbojet engines grows across unmanned and missile applications.

Farnborough agreements expand PBS in Europe and United States

The Airlogix memorandum was one of two defense agreements announced by PBS GROUP during the second day of Farnborough International Airshow.

PBS also expanded its partnership with US-based Zone 5 Technologies. Under a multi-year contract, PBS Aerospace will supply jet engines for the White Spike interceptor from its manufacturing facility in Roswell, Georgia.

White Spike is designed to intercept attack drones and missiles. The arrangement gives PBS two distinct propulsion expansion tracks announced at the same event: localized industrial cooperation with Ukraine and serial engine supply from its US manufacturing operation.

The next milestone for the Airlogix partnership will be completion of the licensing framework and establishment of the planned Ukrainian assembly and service capabilities. The companies have not disclosed when production is expected to begin.

PBS and Airlogix Ukraine agreement: key questions

What did PBS GROUP and Airlogix agree to?

PBS GROUP and Airlogix signed a memorandum covering licensed or joint production of PBS jet engines in Ukraine. The agreement also provides for production of Airlogix drones powered by PBS engines in the Czech Republic, initially for the Ukrainian market.

Will PBS jet engines be manufactured in Ukraine?

Yes, the agreement provides a framework for local production. Ukrainian reporting indicates localization will proceed in phases, beginning with assembly and a certified service center before moving toward deeper manufacturing.

Which PBS engines will Ukraine produce?

PBS GROUP and Airlogix have not publicly identified the specific engine models covered by the production agreement. PBS currently manufactures several small turbojet families for UAV, target drone and specialized aerospace applications.

Where was the PBS-Airlogix agreement signed?

The memorandum was announced on July 21, 2026, during the Farnborough International Airshow in the United Kingdom.