Ukraine faces brutal winter as Russian attacks put $40 billion exports at risk

  • Ukraine officials warned that Russian attacks are worsening infrastructure damage and economic pressure.
  • $40 billion in export revenue is at risk from attacks blocking Black Sea ports.
  • Ukraine spent $42 billion on defense against $39 billion from domestic revenue and borrowing.

Ukraine is preparing for a difficult winter as intensified Russian attacks damage infrastructure, disrupt industry and constrain access to key export routes, officials said. Economy Minister Oleksandr Kravchenko estimated this year’s damage to infrastructure and fixed assets from Russian air strikes at nearly $10 billion, while the wider economic impact of the attacks and the de facto blockade of Ukraine’s ports amounted to about 1.5 percentage points of gross domestic product. About $40 billion in export revenue is at risk because agricultural products and iron and steel are shipped through Black Sea ports. Domestic budget revenue fell $1.35 billion short of projections during the first eight months of the year, according to parliamentary budget committee head Roksolana Pidlasa, with one-quarter of the shortfall recorded in August. Ukraine spent about $42 billion on defense during that period, excluding in-kind military support, while domestic revenue and local borrowing generated $39 billion. The daily cost of the war rose to about $190 million in 2025 from $140 million in 2024, driven by inflation, larger troop numbers, increased social payments for families of fallen soldiers and higher ammunition consumption. The government is seeking to cut or defer nonmilitary spending and is negotiating additional support with Western partners, but officials said no clear and rapid solution had been found for the remaining defense funding gap. The comments came as fighting along the front line was largely stalled more than 4-1/2 years into the war, while Russia and Ukraine increasingly targeted logistics and economic assets. Russia had carried out near-constant attacks on Kyiv for more than two weeks using faster jet-powered drones, while both sides denied deliberately targeting civilians.

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