Ukraine is on the verge of signing a major defense agreement with the United States, according to three sources familiar with the situation. Ukrainian President Volodymyr Zelenskyy is expected to sign the deal during the United Nations General Assembly in New York City this week, though the sources suggested that the signing may be delayed until the U.S. is ready to commit. The agreement would allow the U.S. and Ukraine to expand testing and production of Ukrainian defense technology in the United States. This partnership has grown in importance as both countries have faced similar challenges in countering drone warfare. The conflict with Iran has highlighted the need for stronger cooperation with Ukraine's defense industry. In the early days of the war, Iran used Shahed one-way attack drones to target U.S. military installations in the Middle East, similar to the drones Russia has used against Ukrainian cities. At first, the U.S. and Gulf states struggled to intercept these drones effectively, prompting Ukraine to send drone interceptors and trained pilots to assist. Since then, Ukraine has signed defense agreements with several Middle Eastern countries, linking foreign financial support with its rapidly growing defense manufacturing sector. Zelenskyy has set a goal for Ukraine to produce 10 million drones this year, a number far exceeding the U.S. Army's acquisition of about 50,000 drones in 2025. Experts emphasize that Ukraine's strength lies not only in the drones themselves but also in the software, operators, and teams that continuously adapt the technology. Deborah Fairlamb, a founding partner of Green Flag Ventures, an American venture capital firm investing in Ukrainian defense tech, said the West needs to understand that it's not just about having the technology but also about how it is used. She stressed that Ukraine's knowledge, skills, and experience must be transferred alongside the hardware. In the early days of the Iran conflict, the U.S. faced challenges in deploying new drone technology. Former Army Secretary Dan Driscoll reached out to Eric Schmidt, former CEO of Google and founder of Perennial Autonomy, a U.S. drone company active in Ukraine, to supply 13,000 Merops interceptor drones and 10,000 Bumblebee reconnaissance and strike drones to the Middle East. Although the drones were sent quickly, they took weeks to become operational due to delays in receiving Ukrainian components. Merops drones use AI beacons from Sine Engineering, a Ukrainian defense communications company, and Ukrainian warheads for the explosive material. Ukrainian expertise was also needed to integrate the drones with U.S. air defense systems before they could be used in combat. Washington's efforts to learn from Ukraine's drone warfare have been inconsistent. In August, the U.S. Army disbanded a drone battalion focused on studying Ukraine's drone strategies. Two of the unit's key supporters, former Army Chief of Staff Gen. Randy George and Gen. Christopher Donahue, were either ousted or forced to retire early this year. However, the Pentagon has also moved to expand its own drone capabilities. The U.S. Drone Dominance Program has invited American and select foreign companies, mainly Ukrainian ones, to compete for military drone contracts. The program aims to acquire more than 200,000 drones by 2027. Skyfall, one of Ukraine's largest drone manufacturers, won the program's first competition earlier this year, followed by Perennial Autonomy and Neros, another American company with a presence in Ukraine. Sources close to the drone deal say it will go beyond simply awarding contracts to a few Ukrainian firms. Instead, it aims to create a broader framework allowing leading Ukrainian defense companies to work directly with American counterparts and the U.S. military. Fairlamb emphasized that the deal's success will depend on transferring Ukraine's operational know-how along with its technology. She noted that using drones effectively in combat requires extensive coordination, planning, environmental understanding, and communication among drone operators.