US Gov Considers Grounding DJI Drones Over National Security Concerns

The US government is considering grounding drones made by China-based DJI following a bill advanced by the House of Energy and Commerce Committee. If passed, the Countering CCP Drones Act would add DJI drones to the Federal Communications Commission’s (FCC) list of equipment posing a national security risk, barring them from running on US networks. This move comes after the US Department of Commerce put DJI on its Entity List in 2020, preventing US-based companies from exporting technology to the drone manufacturer. DJI has faced scrutiny over allegations of providing information about critical US infrastructure to China and has been added to the US Treasury's Chinese Military-Industrial Complex list. The company denies these allegations and states that it doesn't control how its products are used. As scrutiny of Chinese-made products increases, the House might vote on the Countering CCP Drones Act in the coming month.

Key Takeaways

• The US federal government is considering banning DJI, a China-based drone manufacturer, following a bill advanced by the House of Energy and Commerce Committee.
• The ban would add DJI drones to the FCC’s list of equipment covered by the Secure and Trusted Communications Networks Act of 2019, preventing communications equipment or services that “pose a national security risk” from running on US networks.
• Rep. Elise Stefanik, who introduced the Countering CCP Drones Act in 2022, claims that DJI provides information about “critical infrastructure” in the US to China.
• The US government has previously taken action against DJI, including putting the company on its Entity List and adding it to the Chinese Military-Industrial Complex list over reports of human rights abuses.
• DJI denies the allegations and claims that the lawmakers backing the legislation are amplifying “xenophobic narratives.” Scrutiny of Chinese-made products has increased, with President Joe Biden recently signing a bill that will ban TikTok from operating in the US unless its Chinese parent company divests the app.

Analysis

The US government's move to consider grounding DJI drones could have significant consequences for the China-based manufacturer, potentially impacting its bottom line and reputation. The ban could also affect US-based companies that use DJI drones for various applications, such as agriculture, film production, and emergency response, forcing them to seek alternative solutions. This development might exacerbate tensions between the US and China, fueling ongoing concerns over data privacy and security. In the long term, this move could set a precedent for stricter regulations and oversight of foreign-made technology, impacting global supply chains and cross-border technology collaborations.

Did You Know?

• FCC's list of equipment under the Secure and Trusted Communications Networks Act of 2019: This list includes communications equipment or services that pose a national security risk and are therefore barred from running on US networks. If the Countering CCP Drones Act is passed, DJI drones will be added to this list.

• Countering CCP Drones Act: A bill introduced by Rep. Elise Stefanik that aims to add DJI drones to the FCC's list of equipment posing a national security risk. The bill is a response to allegations that DJI provides information about critical US infrastructure to China.

• Entity List: A list maintained by the US Department of Commerce that includes companies that are prevented from receiving exports of US technology. DJI was added to this list in 2020, preventing US-based companies from exporting technology to the drone manufacturer.