Trump: I will impose 100% tariffs on drone imports - including from some of our allies
According to the announcement, the move stems from concerns over national security due to "over-reliance" on foreign countries; however, it is estimated that the move is aimed specifically at the Chinese companies that dominate the market; at the same time, the White House released a report stating that more than 40 countries helped China circumvent the tariffs imposed by the US.
US President Donald Trump announced that he will impose tariffs of up to 100% on the import of drones and drone parts, including from some of the country's closest allies. According to a statement released by the White House, the move stems from concerns over national security and "over-reliance" on foreign countries. However, the move is aimed specifically at Chinese companies that dominate the market.
According to an executive order, the high tariff will apply to drones weighing more than 25 kg or those with thermal imaging capabilities, which are considered to threaten national security. In addition, a 25% tariff will be imposed on smaller drones. However, imports of drones and parts from the European Union, Japan, Liechtenstein, South Korea, Switzerland, and Taiwan will be subject to a tariff of 15%, while the tariff on imports from the UK will be 10%.
"A Department of Commerce investigation found that import penetration by foreign manufacturers of unmanned aerial vehicles is significant, and that the US is overly dependent on foreign sources of drones and drone components," Trump said.
He added that, according to Secretary of Commerce Howard Lutnick, drones and drone parts from certain countries "pose a security and safety risk," and that the domestic US industry does not produce enough to meet security needs.
"The tariffs are primarily aimed at industrial and commercial drones, and to a lesser extent at smaller drones used by hobbyists," Clayton Swope, a senior fellow at the Center for Strategic and International Studies (CSIS), told AFP. The tariff will take effect in 21 days on September 3, according to the White House announcement.
Craig Singleton, an expert on the technological competition between the US and China, told the Financial Times that this is a "big story" because the move will reshape the commercial market. According to him, commercial and government customers in the US will need to invest capital immediately to move production to the US. "It is mainly aimed at China," he added.
Trump's move comes after the White House released a report yesterday stating that more than 40 countries helped China circumvent the tariffs imposed by the US by diverting exports from China through them. The countries in question include Canada, India, Mexico, Japan, and South Korea. According to the White House, because the tariffs on them are lower, they helped China avoid paying tens of billions of dollars in tariffs. White House advisor Peter Navarro even accused them of costing "US jobs and billions of dollars in revenue."
