Chinese drone giant DJI faces a potential nationwide ban in the United States by the end of 2025 unless it can prove its products don’t pose a threat to national security.
At a Glance
- The 2025 National Defense Authorization Act requires DJI to pass a national security review or face an automatic ban
- DJI dominates the US drone market with cost-effective products widely used in agriculture, public safety, and media
- Lawmakers cite concerns about data collection potentially benefiting China’s military and intelligence agencies
- A ban would affect all DJI products with radios or cameras, not just drones
- American businesses warn that limited alternatives could increase costs and operational challenges
Security Concerns Trigger Congressional Action
The world’s largest drone manufacturer now faces an uncertain future in the American market. Congress has included provisions in the 2025 National Defense Authorization Act (NDAA) requiring DJI to undergo a national security review or face automatic placement on the FCC’s “covered list,” which would effectively ban the company’s products in the United States. The legislation has passed both the House and Senate with strong bipartisan support and awaits President Biden’s signature.
The NDAA provision starts a one-year countdown for DJI to prove its products don’t pose security risks. “If no agency completes that evaluation within one year of enactment, DJI and other covered entities will be automatically added to the FCC’s Covered List,” explained Rep. Michael Guest, who has also stated that “restricting DJI is a justified and necessary action to protect U.S. security interests.”
Market Dominance and Industry Dependence
DJI’s prominence in the American market extends far beyond recreational drone enthusiasts. The company’s products are widely used in agriculture, construction, public safety, science, and media due to their superior cost-to-performance ratio. This market dominance has created significant dependence among American businesses and government agencies, raising concerns about the potential disruption a ban would cause.
“Among the downsides of a ban are the near-term impacts on a range of users and consumers, considering DJI’s comparative advantage relative to most competitors in price and performance,” noted Elsa Kania, a security expert quoted in reporting on the issue.
Some states have already implemented restrictions on Chinese-made drones, providing a glimpse of potential nationwide consequences. In Tennessee and Florida, public agencies have reported increased costs and operational challenges after being required to switch to American-made alternatives, which are often more expensive and sometimes less capable than their Chinese counterparts.
DJI’s Response and Lobbying Efforts
Facing this existential threat to its American operations, DJI has stepped up its lobbying efforts considerably. The company has spent nearly $7 million on lobbying since 2019 and has engaged extensively with public safety agencies and educational institutions to build support. DJI has also implemented technical updates, including a local data mode designed to prevent data transmission over the internet, addressing some security concerns.
“The Chinese government firmly supports Chinese companies in carrying out international trade and cooperation in drones for civilian use, and opposes certain countries’ frequent illegal sanctions on Chinese companies and individuals on the grounds of so-called national security,” said Liu Pengyu, a Chinese embassy spokesman, highlighting the international trade tensions surrounding the potential ban.
Competing Industry Interests
The battle over DJI’s future in America has created distinct industry factions. The Drone Advocacy Alliance, co-founded by DJI, opposes country-of-origin restrictions and has mobilized users to contact lawmakers. Meanwhile, American drone manufacturers have formed the Partnership for Drone Competitiveness, arguing that DJI’s market dominance is partly due to subsidies from the Chinese government.
“It is strategically irresponsible to allow Communist China to be our drone factory,” said Rep. Elise Stefanik, R-N.Y., expressing a sentiment shared by many Republican lawmakers pushing for the ban.
The legislation’s impact extends beyond just drones, as it would affect all DJI products with radios or cameras. The bill also prevents the company from bypassing restrictions by using subsidiaries, affiliates, or licensing agreements. The comprehensive nature of these provisions reflects lawmakers’ determination to address what they perceive as a significant national security vulnerability in America’s growing reliance on Chinese technology.
