President Trump Issues Executive Orders to Counter China’s Drone Industry

The Trump administration is ramping up its efforts to counter the threat posed by China’s drone industry. On June 6, President Donald Trump signed two executive orders to codify a process for screening Chinese unmanned aerial systems (UAS) entering the American market, expand counter-drone measures, and allow American drone manufacturers to compete fairly with their foreign rivals.

Directives Limit Procurement and Bolster Export Support

One of the executive orders directs the Federal Acquisition Security Council to publish a Covered Foreign Entity List — a move that will prevent the federal government and associated contractors from purchasing UAS from firms identified as being subject to control by a foreign government. The order also directs the secretary of commerce to launch trade-related investigations and draft regulations to secure domestic supply chains, broadening its scope to cover the entire U.S. commercial market.

The directive also orders the secretaries of commerce and defense and the heads of the Import-Export Bank, the International Development Finance Corporation, and the Trade and Development Agency to promote American drone exports to counter China’s dominance, including offering regulatory reform, loans, and market access facilitation.

Another executive order outlines new restrictions on domestic drone flights and expands counter-drone measures. The directive calls for the Federal Aviation Administration to develop new processes for restricting the airspace over sensitive facilities, including pipelines, large airports, and federal facilities — a move that follows a series of cases of Chinese nationals conducting drone flights over military bases.

The order also calls for the attorney-general and the secretary of homeland security to issue new grants to ensure that local and state governments can purchase UAS detection and tracking equipment — a growing concern following Ukraine’s successful drone attack against Russian strategic nuclear bombers.

China’s Dominance of Global Drone Supply Chain Poses National Security Threat

The orders come as China continues to expand its dominance within the commercial drone market, raising significant national security concerns. Beijing has poured millions into its domestic manufacturing sector, allowing firms such as Da-Jiang Innovations (DJI) and Autel Robotics to capture nearly 90 percent of the domestic American market. The growth of this industry has also allowed China to become a key supplier of drone components, such as batteries, flight software, controllers, and gyroscopes.

Beijing’s dominance in global drone supply chains helps it achieve its geopolitical ambitions. Chinese drones and components have gained unprecedented access to U.S. critical infrastructure, collecting data that may abet Beijing’s espionage campaigns. China is also willing to cut off U.S. access to key drone components as it did to American drone manufacturer Skydio in response to the company’s sales to Taiwan’s National Fire Agency.

Washington Must Tighten Restrictions on Chinese Drone Firms

The executive orders are critical in launching efforts to counter the national security risks posed by China’s global dominance of the drone industry. Along with swiftly concluding investigations into the Chinese drone sector, the Federal Acquisition Security Council should consider adding DJI and Autel Robotics to the Covered Foreign Entity List, preventing government agencies and contractors from purchasing their products. As DJI and Autel drones operate on U.S. networks, the Federal Communications Commission should also consider adding both firms to its Covered List, which would ban their sales domestically.

These efforts should be paired with the Bureau of Industry and Security identifying Chinese drone component manufacturers operating within the American market, particularly those producing parts that may be used to extricate data. Congress should also work on ensuring that first responders and other critical infrastructure operators can transition to American alternatives through grants and other incentives. 

Jack Burnham is a research analyst in the China Program at the Foundation for Defense of Democracies (FDD), where Miles Kershner is an intern. For more analysis from the authors and FDD, please subscribe HERE. Follow Jack on X @JackBurnham802. Follow FDD on X @FDD. FDD is a Washington, DC-based, nonpartisan research institute focusing on national security and foreign policy.