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Home Themes Cybersecurity

Can Taiwan Build a Drone Army Without Relying on China?

by Team Lumida
June 24, 2024
in Cybersecurity
Reading Time: 3 mins read
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white and black quadcopter hovering under blue skies

Photo by Mitch Nielsen on Unsplash

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Key Takeaways

  1. Taiwan aims to develop a drone fleet to bolster defense against China.
  2. Taiwan faces supply chain challenges due to reliance on Chinese-made components.
  3. Strategic partnerships and domestic production are crucial for Taiwan’s drone self-reliance.

What Happened?

Taiwan is accelerating efforts to build a drone fleet for its defense, inspired by Ukraine’s success using drones against Russia. Taiwan’s Defense Ministry plans to spend approximately $175 million to acquire 3,200 drones over the next five years.

However, most small, inexpensive drones are made in China, posing a significant risk as China claims Taiwan as its territory. Taiwan must avoid reliance on Chinese suppliers, fearing potential hacking and supply disruptions during conflicts.

Why It Matters?

Drones have proven pivotal in modern warfare, offering cost-effective surveillance and offensive capabilities. For Taiwan, developing a robust drone fleet is essential for defense against China’s superior military forces. The challenge lies in circumventing China’s dominant drone manufacturing industry.

Taiwan has the technological expertise but lacks the scale and cost-efficiency of Chinese production. As Eric Gomez from the Cato Institute notes, “If resupply is a challenge, then large stockpiling and protection of those stockpiles is essential for Taiwan.”

What’s Next?

Taiwan must scale up domestic production and secure strategic partnerships to build a self-reliant drone supply chain. Initiatives like the development of local gimbal systems and the Pentagon’s Replicator program, which aims to deploy thousands of autonomous systems, are steps in the right direction.

Watch for Taiwan’s efforts to enhance its drone capabilities through local manufacturing and international collaborations. Taiwan’s investment in anti-drone technology, such as the counter-drone radars developed by Tron Future, will also be critical in bolstering its defense against potential Chinese aggression.

Source: Wall Street Journal
Tags: Chinese componentsdefense strategysupply chain challengesTaiwan drones
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© 2025 Lumida Wealth Management LLC is an SEC registered investment adviser. Privacy Policy. Cookies Policy.
Disclaimer Important Information This site is for informational purposes only. Information presented on this site does not constitute as investment advice.

Lumida Wealth Management LLC (‘Lumida”) is an SEC registered investment adviser. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the adviser has attained a particular level of skill or ability.

Lumida's website (referred to herein as the "Website") is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of the Website on the Internet should not be construed by any client and/or prospective client Lumida’s solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet.

Any subsequent, direct communication by Lumida with a prospective client will be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides.

‍Lead Capture Forms: By submitting your contact information in the forms on this site, you are not obligated to invest in Lumida's product or services.
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