US slaps 100% tariffs on drones to counter Chinese dominance
Key Points:
- The US has imposed new tariffs of up to 100% on drones and certain drone components to reduce reliance on Chinese imports and strengthen domestic supply chains.
- President Trump signed the order citing national security concerns, particularly regarding dependence on Chinese-made drones, which could expose the US military and infrastructure to espionage and operational risks.
- Drones over 25 kilograms and those with advanced features like thermal imaging face a 100% tariff, while smaller drones are subject to a 25% duty; some component tariffs will begin in February 2024.
- China opposes the tariffs, warning they will disrupt the global drone supply chain and harm fair market competition, with DJI, the dominant Chinese drone manufacturer, directly affected.
- DJI, holding over two-thirds of the global drone market, has been on a US restricted list since 2022 due to alleged military links, and the company continues to contest its inclusion.