US drone makers seek Asia sales as China threat rises | Reuters
AI Analysis
U.S. drone manufacturers are expanding into Asia to counter China's military build-up, as seen at the Singapore Airshow. Companies like Anduril Industries and Shield AI are leveraging their battlefield experience from Ukraine to secure contracts in the Asia-Pacific region.
Key Takeaways
- U.S. drone firms are targeting Asian markets due to China's growing military threat.
- Drones have gained prominence at the Singapore Airshow, highlighting their importance in modern warfare.
- Companies like Anduril and Shield AI are using their experience in Ukraine to market their systems in Asia.
- Asian countries such as Taiwan, the Philippines, and Australia are potential customers for U.S. drone technologies.
- There is a focus on drones capable of operating in GPS and communications-denied environments.
Why It Matters
The expansion of U.S. drone companies into Asia signifies a strategic shift in military procurement, driven by regional security concerns over China's military activities. This move could enhance the defense capabilities of U.S. allies in the Asia-Pacific, potentially altering the balance of power in the region.
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US drone makers seek Asia sales as China threat rises
By[Joe Brock] February 5, 20267:23 AM UTCUpdated February 6, 2026 Text
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- Link ![The Singapore Airshow at Changi Exhibition Centre in Singapore] Item 1 of 4 The Shield AI booth at the Singapore Airshow at Changi Exhibition Centre in Singapore February 3, 2026. REUTERS/Caroline Chia/File Photo **[1/4]**The Shield AI booth at the Singapore Airshow at Changi Exhibition Centre in Singapore February 3, 2026. REUTERS/Caroline Chia/File Photo[Purchase LicensingRights, opens new tab]
- Summary
- Companies
- US firms seek to expand in Asia to counter China
- Drones gain prominence at Singapore Airshow
- US companies open Asia offices, secure regional contracts SINGAPORE, Feb 5 (Reuters) - Several U.S. drone firms made their debuts at the[Singapore Airshow] this week, seeking to expand their business beyond the Pentagon to countries in Asia that are increasingly concerned about the threat posed by China's military build-up. The lethal success of drones on both sides of Russia’s[war in Ukraine] has sparked a surge of Silicon Valley investment in drone and military artificial intelligence startups, boosting the valuations of U.S. firms like California-based Anduril Industries and Shield AI. Sign up[here.] This wave of interest in the next generation of warfare is reshaping the character of major air shows that have been long-dominated by gleaming commercial airliners, daredevil fighter jets and troop-carrying helicopters. Drones - from palm-sized quadcopters built for kamikaze strikes to unmanned fighter jets - have moved from the margins to centre stage as military commanders, politicians, intelligence officers and defense industry executives converged this week to assess which technologies might give them the edge in a future conflict in the Pacific. Though most drones used by Ukraine are domestically produced, companies like Anduril, Shield AI, El Segundo, California-based Neros Technologies and Virginia-headquartered AeroVironment[(AVAV.O), opens new tab] have supplied Kyiv with weapons. Now these companies are aiming to persuade militaries in Taiwan, the Philippines, Singapore, Australia, South Korea, and Japan that their early battlefield experience and initial Pentagon backing prove they can deliver the cutting-edge systems needed as China builds its military presence in the region. "They're looking for the ability to conduct intelligence, surveillance, reconnaissance operations while GPS and communications are jammed …it's what we're offering to a number of different countries in the region," Shield AI's co-founder Brandon Tseng told Reuters at the Singapore show. Shield AI, whos