American Drone Manufacturing Dominance Act of 2026

Key Points

• Starting in fiscal year 2027, state and local police departments would have to certify they will not buy drones made in countries like China or Russia in order to keep receiving DOJ grants. By January 1, 2031, they must also stop using any foreign-made drones they already own. Agencies that fail to comply would lose future grant funding and have to repay what they received.
• The bill authorizes $1.5 billion drawn from trade tariff revenue. The largest share, $1.2 billion, would fund grants for private companies to build or expand drone factories in the United States. Another $150 million would go to a buyback program for foreign-made drones, and $150 million would help police buy secure replacements.
• A DOJ buyback program would pay police departments to surrender their foreign-made drones, with priority given to agencies that are actively using those drones in public safety or critical infrastructure operations. The surrendered drones would be destroyed, decommissioned, or placed in controlled storage.
• Companies seeking manufacturing grants must show their drones can be adapted for military use, including supporting encrypted communications and modular designs suitable for defense missions like surveillance and logistics. The Commerce Department would coordinate with the Defense Department on these requirements.
• When awarding procurement grants, DOJ would give preference to drones made in the U.S. or by friendly nations including Ukraine, NATO allies, and major non-NATO allies, as long as they do not include components from covered foreign countries.

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