U.S. needs to take control over the commercial drone market, currently dominated by China
The United States is taking significant strides to develop a robust and independent drone industry, aiming to reduce its reliance on Chinese-made drones. This push comes in response to the growing demand for autonomous systems in both military and commercial sectors.
Key players in this movement include US startups like Corvus Robotics and Zepher Flight Labs, which are designing, building, and flying drones from scratch. These companies are addressing the issue of tight coupling between autonomy software and hardware design, a challenge that arises when a company doesn't manufacture its systems.
For instance, Corvus Robotics, based in California, specialises in building fully autonomous drones for warehouse environments. Their drones, equipped with 14 cameras designed with custom optics, scan inventory shelves during normal operating hours or at night, feed the data into warehouse systems, and operate without manual scheduling. The autonomy system, known as the AI large-world model, uses a learning-based, neural network approach to autonomy to understand what inventory is where, what to look for, and how to interact with the environment, all without GPS, beacons, or external sensors.
Similarly, Zepher Flight Labs' Z1 VTOL UAS is designed for tough environments, focusing on endurance, modularity, and easy deployment. With more than 10 hours of endurance and the ability to be assembled or reconfigured in minutes without tools, the Z1 VTOL UAS offers a flexible solution for various applications.
The US government is also playing a crucial role in this development. The Pentagon's new drone policy, "Unleashing U.S. Military Drone Dominance," directs major purchases to favour US companies, rescinds restrictive policies slowing procurement, and enables third-party testing to reduce certification delays. It also calls for financial support through advance purchase commitments, loans, and capital incentives to help domestic drone companies scale quickly.
Federal executive orders and legislation, such as Executive Order 14307, promote reduced reliance on foreign drones, incentivize US-made solutions, and link with a $20+ billion investment in autonomous systems via the One Big Beautiful Bill Act. These actions ensure a consistent government-backed push toward domestic innovation and manufacturing competitiveness.
New manufacturing facilities and innovation hubs are being established, such as the drone production facility at the Red River Army Depot in Texarkana, Texas, as per the SkyFoundry Act of 2025. This facility aims to create a fully American pipeline for design, testing, and mass production, decoupled from Chinese supply chains.
Regulatory support and strategic congressional collaboration help create an environment conducive to faster development and procurement of US-made drones, reducing vulnerabilities from reliance on foreign supply chains or espionage risks.
However, experts caution that overcoming China's established dominance will require sustained political will, innovation, and capital commitment over time. As Corvus Robotics' CEO, Wu, notes, "Will is the most important factor in building great hardware, and Americans need to care enough to do it."
Wu also emphasises the importance of humility and learning from the best, especially when other countries do something better. For instance, Zepher Flight Labs has secured contracts with INDOPACOM and SOCPAC to use the system in the field, and has partnered with organisations like the Defense Innovation Unit (DIU) and Army Research Laboratory (ARL).
Corvus, on the other hand, is building a generalized robotics platform, with the end goal being a full-stack robotics company that can scale across industries and applications. The company's technology is designed to be transferable, with the compute stack, sensors, and control systems built for drones potentially being adapted for ground vehicles or humanoid robots.
This shift in investor sentiment, coupled with government support and the innovative spirit of US companies, promises a bright future for the domestic drone industry. The US is well on its way to closing the production capacity gap with China and strengthening national security through supply chain independence.
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- The US is investing significantly in robotics and technology, with startups like Corvus Robotics and Zepher Flight Labs developing autonomous drones for various sectors, such as warehousing and tough environments.
- To foster domestic innovation and manufacturing competitiveness, the US government is implementing policies like the Pentagon's new drone policy, which encourages purchase from US companies, and providing financial support through advance purchase commitments, loans, and capital incentives.
- Regulatory support and strategic congressional collaboration are creating an environment conducive to faster development and procurement of US-made drones, with new manufacturing facilities and innovation hubs being established, such as the drone production facility at the Red River Army Depot in Texarkana, Texas.
- Experts warn that overcoming China's established dominance in the drone industry will require sustained political will, innovation, and capital commitment, and there is a need for humility and learning from other countries when they do something better.
