US Tightens Drone Supply Chain Controls to Protect Security

The U.S. Commerce Department’s BIS will seek public input until March 4 on a proposed rule addressing drone supply chain risks tied to China and Russia.

On Thursday, Beijing unveiled new export control measures targeting 28 U.S. companies, adding 10 of them to a restricted list that prohibits them from conducting business in China. In response, the U.S. government is considering a new regulation to exclude China from the drone supply chain, signalling a further escalation in the trade and technology divide between the two nations.

The group of 28 companies mainly includes defence contractors such as Lockheed Martin and five of its subsidiaries, General Dynamics and three of its subsidiaries, three subsidiaries of Raytheon, one subsidiary of Boeing, and more than a dozen other firms. According to an exclusive report of Voice of America, Chinese companies are now banned from selling “dual-use” goods—items that serve both military and civilian purposes—to any of these entities.

The U.S. Department of Commerce’s Bureau of Industry and Security (BIS) announced plans to gather public feedback until March 4 on a proposed rule targeting supply chain risks for drones linked to China and Russia. The department cited “acute threats” from these nations, warning they could enable adversaries to manipulate devices and access sensitive U.S. data.

Alan Estevez, head of the BIS, emphasized the Commerce Department’s efforts to address vulnerabilities in the commercial drone market proactively. The Pentagon designated DJI, the world’s largest commercial drone maker, as a national security threat in 2021, banning its use by U.S. government agencies. President Biden signed the 2025 National Defense Authorization Act in December, requiring DJI to undergo a risk assessment and address data leak concerns within the following year.

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The advance notice of proposed rulemaking signals that the Bureau of Industry and Security (BIS) is exploring strategies to support the UAS market. By considering potential mitigation measures, the BIS aims to enable UAS market participants to engage in transactions that might otherwise face undue risks. This approach reflects a commitment to fostering innovation while maintaining safety standards and regulatory compliance, ultimately unlocking new opportunities in this dynamic industry.

The public has 60 days to comment on national security risks, foreign adversary threats, and the economic impacts of proposed drone-related ICTS regulations. U.S. Commerce Secretary Gina Raimondo stressed the importance of securing the drone supply chain to safeguard national security, calling the rule a vital step in addressing vulnerabilities from foreign entities. However, she did not name China or Russia.

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