As China moves closer, Taiwan builds more drones for defense and the US military

The drone business has grown

Last year, Thunder Tiger’s Overkill drones he became the first from an Asian company to qualify the Pentagon’s Blue Drones Removal Checklistwhich certifies commercial drones for use by the US military. Small, first-person-view (FPV) drones cost between $3,000 and $5,000 each, according to reports from The Whole Worldand is similar to many explosive FPVs used in the war in Ukraine.

Thunder Tiger has also started making large kamikaze drones starting at $30,000 each US LUCAS one-way attack drones, Worldwide reported. LUCAS drones are the ones that have been updated Iran’s Shahed drones which has been widely used by Russia and Iran.

Another one-way threat posed by Drones Israel’s Harpy Drone was developed by the National Chung-Shan Institute of Science and Technology (NCSIST), a Taiwanese government agency, according to Taiwanese think tank DSET.

Taiwanese companies also export a lot of drone equipment. For example, Thunder Tiger has been supplying drone equipment to three companies participating in the US Department of Defense’s $1 billion Drone Dominance Program, according to DSET. Taiwanese companies are also directly involved providing flight controllersbatteries, motors, and other drone microelectronics to Ukrainian companies, while Czechia and Poland export tens of thousands of Taiwanese drones that can sometimes be shipped to Ukraine.

In March 2026, Thunder Tiger further expanded its export channels by establishing a US facility in Ohio that can produce more than 60,000 drone motors annually, said Gene Su, general manager of Thunder Tiger. IEEE Spectrum interview.

Because of their focus on hardware technology, Taiwanese drone companies are turning to US companies and others with AI and software technology. Taiwan’s NCSIST has sought to improve the AI ​​capabilities of its drones by partnering with western companies such as Anduril, Auterion, and Shield AI, according to DSET. Meanwhile, Thunder Tiger is purchased AI software from Auterion to join its growing portfolio of drones, ground robots, and sea drones.