Report: Taiwan aims to mass produce military drones for West
Politico revealed Taiwan is leveraging its semiconductor industry to manufacture an “army of drones” to help the US and Western allies reduce reliance on China.
Politico reported on Friday that China dominates about 80% of the global civilian drone market and monopolizes the production of critical drone components, such as small lithium-ion batteries. With escalating US-China trade tensions, the conflict has extended into the drone sector.
On July 31 and Dec. 5, China announced two waves of restrictions on the export of key drone components to the US and Europe. These export controls coupled with Trump’s impending presidency are expected to intensify US-China trade disputes.
Recognizing the growing importance of drones as a core element of modern warfare, Taiwan is positioning itself as a global drone production hub through its advanced semiconductors, which comprise 95% of the global market. This effort aims to assist the US and other Western allies in reducing dependence on Chinese supply chains.
The report pointed out that China recently introduced the Feihong FH-97A “loyal wingman” drone to keep pace with the US military, representing an opportunity for Taiwan. In 2022, the Taiwanese government established the “Drone National Team” initiative, recruiting commercial drone makers and aviation and aerospace firms to accelerate the development and deployment of commercial and military drones.
The initiative has set a target of producing 15,000 drones per month domestically by 2028.
Tron Future founder CEO Wang Yu-jiu told Politico, “We see the potential, we see it’s happening and the government wants it to happen as well.” He added that business exchanges are happening between Taiwanese and US companies.”
Wang pointed out that large consumer electronics companies specializing in computers and smartphones began venturing into drone production last year. Taiwan’s semiconductor industry can further enhance the drone sector by enabling advanced AI capabilities, such as protecting GPS systems from jamming.
Taiwan Representative to the EU and Belgium Roy Chun Lee (李淳) was cited by Politico as saying that the Russo-Ukraine war underscored the importance of securing drone supply chains. Lee said that Taiwan’s industrial strengths, combined with international demand for “resilient and trusted supply chains,” make Taiwan an ideal partner for democratic countries prioritizing supply chain security.
The report mentioned that in September, the US Department of Commerce led a delegation of 26 US drone and anti-drone system manufacturers to Taiwan, including Northrop Grumman, Shield AI, and Textron Systems. The delegation’s visit was designed to cultivate collaboration between Taiwanese and US drone firms.
David Gardas, an analyst at the Czech think tank Sinopsis, told Politico that Taiwan’s technological acumen, geopolitical importance, and burgeoning defense partnerships allow it to play a crucial role in offering secure alternatives to Chinese systems.
