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As China looms, Taiwan makes more drones for defense and the US military

As China looms, Taiwan makes more drones for defense and the US military

Summary

Taiwan is increasing its production and use of military drones to strengthen its defense against potential attacks from China. The Taiwanese government plans to spend $6.6 billion over six years to buy locally made drones and is exporting drones and drone parts to the US military and other countries.

Key Facts

  • Taiwan proposes a $6.6 billion budget from 2026 to 2031 to buy over 208,000 coastal attack drones and thousands of reconnaissance drones and uncrewed vessels.
  • Taiwan currently has about 5,000 US-made attack drones plus domestically produced models.
  • Taiwanese soldiers have tested drones that strike offshore targets during military exercises in 2026.
  • Taiwanese companies, including Thunder Tiger, are partnering internationally and selling drones to the US military and European buyers.
  • Taiwan exported $115 million worth of fully assembled drones in the first three months of 2026, surpassing the total for 2025.
  • Thunder Tiger’s drones are certified for US military use and range from small FPV drones costing $3,000-$5,000 to larger kamikaze-style drones priced from $30,000.
  • Taiwanese drone parts are supplied to the US Department of Defense’s $1 billion Drone Dominance Program and to companies supporting Ukraine.
  • Czechia and Poland import tens of thousands of Taiwanese drones, some of which may be sent to Ukraine.
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