DJI faces extinction in the US with FCC’s ban on new drone sales

The long-anticipated ban on Chinese-made drones in the US has finally been enforced, with the US recently clearing the way to ensure that only drones assembled in the country “dominate” its airspace.

The Federal Communications Commission (FCC) recently issued a new order that places drones manufactured in countries outside the US on a “Covered list,” which comprises products that “pose an unacceptable risk to national security.” Besides drones, the order basically includes anything with wireless radios.

The move effectively prevents Unmanned aircraft systems (UAS), colloquially known as drones, alongside critical drone components manufactured in foreign lands, from being authorized in the US. If you’re in the US, you will no longer be able to import drones or source vital components required for repairs or upgrades. FCC chairman Brendan Carr, however, maintains that this order does not disrupt the use of existing drones or prevent you from buying drones that are already authorized for sale in the US.

According to the notice issued by the federal agency, placing foreign-made drones under sanctions will “reduce the risk of direct UAS attacks and disruptions, unauthorized surveillance, sensitive data exfiltration, and other UAS threats to the homeland.” Additionally, it can be pivoting in boosting the participation of American companies in the manufacturing of drones, especially as non-military applications such as construction, manufacturing, agriculture, media and broadcasting, or even last-mile delivery are now increasingly using drones to bypass human labor.

The order is also expected to boost the share of US-based companies in the segment, currently dominated by Chinese players. The most popular of them is DJI, which has been on the US government’s target list for several years. DJI has been accused of being an ally of the Chinese Communist Party or the CCP, which DJI has previously called “baseless allegations and xenophobic fear.”

Irrespective of rebuttal from DJI and other drone companies, there appears to be little that can be done, now that the order is finally in place. Interestingly, however, DJI has not been explicitly mentioned on the list of companies dispensing forbidden items, though its inclusion is likely.

In a statement to China-based news outlet Global Times, DJI expressed its disapproval of the decision, calling it a curtailment of choice for US citizens. Earlier this month, DI had also warned that more than 1,800 federal and state agencies use DJI drones for law enforcement and emergency response, and a DJI would force agencies, as well as consumers, away from the highly efficient and cost-effective solutions it makes.

With DJI’s fate nearly sealed, it remains to be seen whether a US-based company could come to its rescue, as recently happened in the case of TikTok.