Trump administration announces 100% tariff on certain drones
Trump administration announces 100% tariff on certain drones
US President Donald Trump has signed an order to impose a tariff of 100 percent on imports of certain drones and components.
The proclamation signed by Trump on Thursday imposes Section 232 tariffs, created by the Trade Expansion Act of 1962, that are aimed at protecting US national security.
The 100-percent duty will apply to "particularly sensitive" drones and their components. That includes models with a maximum takeoff weight of more than 25 kilograms and their components.
Smaller drones and components will be subject to a lower tariff of 25 percent.
The tariffs are to take effect 21 days after signing. Levies on drone components that are not particularly sensitive will take effect 180 days after signing.
Japan, the European Union and other US trade partners, which have agreed in trade negotiations, could see their tariff limited to 15 percent if they meet certain conditions.
The move comes as unmanned aerial vehicles are gaining importance for both commercial and military purposes. The Trump administration apparently hopes to reduce US reliance on Chinese and other foreign-made drones by strengthening domestic production and supply chains.
Last week, China's Commerce Ministry announced that it will tighten export controls on drones bound for the United States.
The two countries are engaged in a tug-of-war ahead of Chinese President Xi Jinping's planned visit to the US in September.
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