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America ’s supply chain vulnerabilities were on full display Thursday after laggard manufacturer Skydio told customers it was facing a shelling clinch after being impinge on with sanctions from China .
“ This is an attempt to eliminate the leading American bourdon troupe and deepen the world ’s dependance on Chinese monotone suppliers , ” Skydio CEO Adam Bry saidin a letter to customersfirst reported by the Financial Times .
The company , which provides drones to Ukraine ’s military and Taiwan ’s National Fire Agency , manufactures its products in the United States but still relies on a global supply chain for many of its component ; one of the most decisive components , batteries , are still sourced in China . As a result of the sanctions , which bar Chinese companies from doing business with Skydio , customers will be limited to one barrage per pilotless aircraft , Skydio tell customers .
While Skydio has a “ substantial line ” of batteries on hand , it does n’t anticipate newfangled sources coming online until give of next year . In the meantime , the ship’s company is extending the computer software licence , warranty , and support term for orders bear on by the battery ration by the length of time it takes for the full complement of barrage to be deliver .
Skydio is America ’s largest drone producer and operates an enterprise - only business aftershutting down its consumer drone business in 2023 . It has sent 1000 of its drones to Ukraine to aid that country ’s warfare - fighting crusade .
“ This is a elucidative moment for the drone industry , ” Bry said . “ If there was ever any doubt , this action mechanism makes clear that the Chinese administration will expend supplying chains as a arm to advance their interests over ours . ”
The drone maker has sought help from the Biden establishment and has been in spot with Taiwan ’s vice chairperson Hsiao Bi - khim as it face up this crisis , the Financial Times report . The sanction , which were imposed on October 10 and let in two other companies , were reportedly imposed in retaliation for the U.S. government ’s announcement that it would allow additional military assistance for Taiwan .
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Ten executive were also sanctioned , including Bry and Skydio ’s Asia - Pacific general manager Tom Moss .
This is n’t the first fourth dimension the U.S. and China have traded jabs over drone technoloy : DJI , the world ’s largest drone manufacturer , file away a suit against the U.S. political science sooner this month over being specify a “ Chinese military company , ” claiming the designation is “ unlawful and misguided . ”