June 10, 2025

Dual Drone EOs: A Boost to the Domestic Drone and Counter-Drone Industries

5 min

On June 6, President Trump signed two executive orders (EOs) with the stated purpose of supporting the domestic drone industry, while also protecting against the threats posed by the misuse and malicious use of drones.

  • The "Unleashing American Drone Dominance" EO includes measures intended to support the domestic drone industry by promoting innovation, reducing regulatory hurdles, and supporting the export of American-manufactured unmanned aircraft systems (UAS)
  • The "Restoring American Airspace Sovereignty" EO includes measures intended to address the risks posed by the misuse of drones. Among other requirements, the EO directs the expedited issuance of a rule that will make it easier for critical infrastructure owners and other private sector actors to restrict drone flights for security reasons, and it mandates increased civil and criminal enforcement against drone operators that violate safety rules

Collectively, these two EOs create new opportunities for (i) the U.S. domestic drone industry, (ii) those who produce technologies that detect, track, and potentially mitigate unauthorized or malicious drone activity, i.e., the "counter-drone" industry, and (iii) private owners and operators of critical infrastructure, as well as any stadium, concert hall, or other venue that supports large gatherings of people, to address core security risks.

The following provides background on the drone industry, an assessment of what is included in the EOs, and thoughts on how private sector actors can meaningfully engage.

Key Background

Over one million drones are registered with the U.S. Federal Aviation Administration (FAA). This number is expected to almost triple by 2027. Drones are used for a myriad of commercial and recreational uses, including critical infrastructure management, agricultural production, military operations, and the delivery of life-saving aid, along with multiple other commercial and recreational uses. As of now, the vast majority of commercial and hobbyist drones used in the United States are not American-manufactured; to the contrary, Chinese-manufactured drones control some 90% of the consumer market.

UAS technology provides immense commercial, defense-related, and economic benefit. Yet, as described in the Restoring American Airspace Sovereignty EO, the malicious use of drones also poses risk. For example, the use of drones in Ukraine and across the Middle East showcases how even commercial, off-the-shelf products can be adapted for war. The use of drones in these theaters is rapidly changing how military conflicts are waged. The combination of the misuse and malicious use of drones also poses safety risks to airports, critical infrastructure, and large public gatherings, such as sporting events and concerts.

Currently, just four U.S. federal agencies possess the statutory authority to perform advanced detection and mitigation in response to the threats posed by drones, namely the Department of Justice, Department of Homeland Security, Department of Defense, and Department of Energy.

This is due to the fact that a combination of federal and state laws, including those related to aircraft piracy, interception of electronic and wire communications, and computer fraud and abuse, make it unlawful to engage in most advanced detection measures and virtually all mitigation measures, without express statutory authorization to do so. State, local, tribal, and territorial officials do not have the authority to engage in advanced detection or mitigation measures; neither do critical infrastructure owners or other private actors. Moreover, absent congressional action, even the limited authority granted to the four federal agencies sunsets in September 2025.

The Two EOs: Support for the Domestic Drone Industry and Protections Against Emergent Threats

Collectively, the two EOs seek to promote innovation, support the domestic drone industry and provide increased protections in response to drone-related threats.

The "Unleashing American Drone Dominance" EO contains measures to protect and promote the domestic drone industry, including the following:

  • Directs the FAA to expedite the "Beyond the Visual Line of Sight" rule, which would enable drone operators to safely engage in a range of public safety, medical, agricultural, and other activities that are currently hampered by the requirement that drones be within the operators' visual line of sight
  • Promotes the domestic drone industry and responds to risks posed by China-produced and -manufactured drones by requiring (i) the Federal Acquisition Security Council to identify companies that pose supply chain risks and (ii) the Secretary of Commerce to take a series of steps to secure the U.S. drone supply chain against foreign control and exploitation
  • Prioritizes the export of U.S.-manufactured UAS, via a combination of directives to the secretary of commerce, the secretary of defense, and others
  • Supports efforts to deliver and integrate low-cost, high-performing drones into U.S. military operations

The "Restoring American Airspace Sovereignty" EO responds to threats posed by the misuse and malicious use of drones, to include the following:

  • Directs the FAA to accelerate a rule that would support the implementation of flight restrictions in response to threats
  • Requires additional enforcement measures against drone operators that violate safety and security rules
  • Directs the use, to the maximum extent possible, of detection technology by federal, state, local, tribal, and territorial law enforcement agencies
  • Mandates an assessment as to whether additional counter-UAS coverage is possible under current law—to include expanded protection at the northern and southern U.S. borders, large airports, other federal facilities, and military installations
  • Directs the attorney general and secretary of homeland security to take additional actions against the threats posed by drones to support major national and international events, including the 2026 FIFA World Cup and 2028 Summer Olympics

How Private Sector Entities Can Engage

The dual EOs provide new opportunities—for the UAS industry, for those engaged in counter-drone efforts, and for private sector actors—including critical infrastructure owners and operators, stadium owners, and owners of any other venues that support mass gatherings. In addition to supporting innovation in new markets, the EOs seek to accelerate rulemaking and other measures that will give private sector actors new tools to address the misuse of drones.

For information on how we can support these efforts, please reach out to Jennifer Daskal at jdaskal@Venable.com.