US President Donald Trump signed a proclamation imposing tariffs of up to 100% on imported drones and their components, citing national security and supply chain concerns. The tariffs apply to drones weighing more than 25 kilograms or equipped with thermal imaging capabilities, as well as their docking stations and critical parts.

A 100% ad valorem tariff will apply to drones deemed particularly sensitive for national security, while smaller drones without those capabilities will face a 25% tariff. Drones and components from the EU, Japan, Liechtenstein, South Korea, Switzerland, and Taiwan will be subject to a 15% tariff if substantially all hardware, software, and technology originate from those countries or the US.

Imports from the UK will face a 10% tariff if substantially all hardware, software, and technology originate from the UK or the US. Most tariffs will take effect 21 days after the proclamation was signed, while tariffs on non-sensitive components will take effect after 180 days. A dispute exists over the effective date of the tariffs: while multiple sources state they will take effect 21 days after signing, others cite September 3 as the implementation date.

100% ad valorem tariff

On sensitive drones and components

The White House said the measures aim to expand US domestic drone production and reduce reliance on foreign sources for critical components. The US Commerce Secretary, Howard Lutnick, concluded an investigation finding that drones and components from certain foreign companies pose security risks and that the US domestic industry does not produce enough to meet national security needs.

The U.S. is too reliant on foreign unmanned aircraft systems and their parts.
— US Commerce Secretary Howard Lutnick

The new tariffs will mainly hit China. The US government considers drones a key technology in modern warfare, which underpins the national security rationale for the measures. The tariffs target not only the final assembly location but also the origin of the drone’s technology supply chain, aiming to prevent Chinese components from entering the US market via third countries.

The White House fact sheet states the drone tariff proclamation authorizes the Secretary of Commerce to create a new program to incentivize investment in US production facilities for unmanned aircraft systems and their components. President Trump suggested he would make similar deals with companies that commit to producing drones or components in the United States, exempting them from tariffs, as he previously did with computer chips.

A 180-day delay in tariff implementation also applies to products that the US Department of Defense exempts within 20 days after signing from the Federal Communications Commission's 'Covered List' of communication devices posing a risk to US national security. The FCC previously placed drones on this list in December, effectively banning new imports, and partially relaxed the ban in June for small, low-risk models.

The latest round of trade tensions began with new US restrictions, including tariffs on Chinese goods, additional companies placed on an import ban list, and restrictions on the import of certain Chinese technology products. Beijing responded to these measures with its own counteractions.

A meeting between US President Donald Trump and Chinese President Xi Jinping is planned for September. A dispute exists over the effective date of the tariffs: while multiple sources state they will take effect 21 days after signing, others cite September 3 as the implementation date.

The drone tariff proclamation includes a full official list of specific components subject to the 100% tariff. An expert told The Financial Post the move will close a loophole that allowed companies to buy components from China and assemble them in the US. The new tariffs are designed to force companies to relocate production to the United States or to countries eligible for lower tariff rates, thereby reshaping global drone supply chains.