The US government announced on August 13 Eastern Time that, pursuant to Section 232 of the Trade Expansion Act of 1962, it would impose tariffs on globally imported unmanned aircraft systems (UAS) and their components. Taiwan's Executive Yuan Taiwan-US Economic and Trade Working Group stated via press release that relevant products from Taiwan, the EU, Japan, South Korea, and Switzerland are all subject to a 15% rate not stacked on top of MFN, while the UK's rate is 10% not stacked on MFN.
For countries outside the above group, large drones over 25 kg or those with sensitive functions such as thermal imaging, along with their critical components, are subject to a 100% tariff stacked on MFN. General commercial or consumer drones and components not exceeding 25 kg and without thermal imaging are subject to a 25% tariff stacked on MFN.
Taiwan's drone-related products are subject to a 15% non-stacked tariff. The working group said that for sensitive, large, and thermal-imaging drones, Taiwan's products meeting US critical component and technology source requirements enjoy an 85 percentage point tariff advantage over other countries' 100% rate. For general small and medium-sized drones, Taiwan's 15% rate offers a 10 percentage point advantage over the 25% rate applied to other countries.
Regarding effective dates, non-sensitive parts take effect 180 days after signing, on February 9 next year, while other items take effect 21 days after signing, on September 3.
The working group also noted that in response to the US Federal Communications Commission (FCC) adding foreign-made drones and critical components to its Covered List, the Ministry of Economic Affairs has facilitated ITRI becoming the sole overseas certification site for the US Green UAS program and the Metal Industries Research & Development Centre in connecting with Blue UAS certification, helping manufacturers meet US certification requirements.
