China Dominates Military Drones, but America is Fighting Back
The future of warfare fits in the palm of your hand, and it’s made in China. Drones have become the defining weapon of modern conflict, with Ukraine, Russia, and Iran relying on the same Chinese supply chain. As batteries, motors, and chips replace jet engines and aircraft carriers, the US is scrambling to catch up.
- Currently, American-made quadcopters can cost $15K+ — over 3x the price of a Chinese equivalent, thanks to the latter’s unmatched production scale.
- To close the gap, the Pentagon launched a $1.1B Drone Dominance initiative to build domestic drones — with an ambitious goal of driving per-unit costs down to $2.3K.
Patience is a virtue: The program’s just one part, as the US pours billions into domestic mining and moves to ban foreign-made drones by 2027. Even so, experts warn that rebuilding the supply chain could take a decade, with one drone specialist going further, calling China’s grip permanent. For investors with patience, AeroVironmentAVAV, KratosKTOS, and Red CatRCAT are among the names positioned to ride the Pentagon’s push. China has the head start, but Uncle Sam’s checkbook is open.