Taiwan’s military is expanding its drone arsenal as part of a strategy to deter potential Chinese invasion. The Ministry of National Defense proposed a special budget that would allocate $6.6 billion over six years to purchase drones made in Taiwan, according to the Central News Agency. The plan includes acquiring more than 208,000 coastal attack drones, along with over 1,400 reconnaissance drones and 1,320 uncrewed surface vessels between 2026 and 2031. This would significantly enhance the island’s military capabilities, which currently include just 5,000 US-made and domestically produced drones, according to Resilience Media.
Taiwanese companies are also forming international partnerships to sell drones to the US military and other overseas buyers. Thunder Tiger, a notable Taiwanese drone manufacturer, has pitched its technology to US and European buyers as an alternative to Chinese-made drones. The company has already exported $115 million in fully assembled drones between January and March 2026, surpassing the total exports of 2025. Additionally, Thunder Tiger has expanded its overseas supply chain by establishing a US facility in Ohio capable of producing over 60,000 drone motors annually, as stated by Gene Su, general manager of Thunder Tiger, in an IEEE Spectrum interview.
The drone industry in Taiwan is also collaborating with Western companies to enhance AI capabilities. For instance, the National Chung-Shan Institute of Science and Technology has partnered with firms like Anduril, Auterion, and Shield AI to improve drone AI. Meanwhile, Thunder Tiger has integrated Auterion’s AI software into its drone lineup, and Ubiqconn Technology has partnered with AeroVironment to embed its software into a drone controller platform. These efforts aim to support the Taiwanese military in operating multiple drone systems, according to Nikkei Asia.
Source: arstechnica
