US-Taiwan cooperation on developing an autonomous defense supply chain in the drone sector is accelerating, as two delegations of American drone industry representatives visited Taiwan in late September and early October.
In late September, officials from the US Commerce and Defense Departments, alongside representatives from 26 US drone and counter-drone companies, engaged in meetings with Taiwan's Ministry of National Defense, National Chung Shan Institute of Science and Technology (NCSIST), and other local players. In early October, the Oklahoma Defense Industry Association led a delegation of over ten drone firms, culminating in a collaboration memorandum with Taiwan's UAV Alliance.
Taiwan's top industry names—Thunder Tiger, MiTAC Advance Technology, Geosat, Air Asia, Coretronic Intelligent Robotics Corporation(CIRC), Evergreen Aviation, and Qisda—participated, reflecting the sector's strategic importance. Over 100 Taiwanese suppliers also attended, signaling the domestic supply chain's commitment.
The US-Taiwan talks focused on three primary areas: scaling production, ensuring speed, and achieving supply chain autonomy. Despite Taiwan's limited domestic demand, US officials expressed confidence in building a broader supply chain across allied democracies, addressing global demand and leveraging Taiwan's manufacturing strengths.
China's dominance, once holding 70% of the global commercial drone market, presents a dual challenge: Beijing's recent restrictions on drone components and the complexity of diverse drone requirements. The US seeks to counterbalance these by mobilizing allied manufacturing hubs to form a robust democratic alliance supply chain.
The US "Replicator" program, aiming to deploy thousands of drones in the Indo-Pacific by 2025, views Taiwan as a critical participant, hoping to mirror its semiconductor manufacturing success. However, safeguarding sensitive technologies remains a top challenge. Industry insiders indicate alignment on integrating supply chain governance into a shared democratic framework, with Taiwan's Bureau of Foreign Trade liaising with US counterparts.
US firms represented included AeroVironment, known for its Switchblade loitering munitions, and Dedrone, a counter-drone systems provider. Notably, AIT Director Raymond F. Greene highlighted the synergy between US R&D and Taiwan's advanced manufacturing, foreseeing joint advancements in military and commercial drone technologies poised to lead the sector.
