US imposed sanctions against largest drone manufacturer – DJI

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Last updated on May 7th, 2023 at 08:04 pm

US imposed sanctions against largest drone manufacturer – DJI

DJI, the world’s largest and most popular drone company, has been added to the U.S. Department of Commerce’s Banned List. In other words, the Chinese company has been recognized as a risk factor for US national security, and any US companies or US-based businesses are prohibited from exporting technology for DJI. The largest Chinese chip maker SMIC was included in the same list.

DJI drones

The news was first reported by DroneDJ, and then Reuters confirmed the information after speaking with a Commerce Department spokesman. DJI has so far declined to comment on this situation. The ban was introduced using the same mechanism as the sensational sanctions against Huawei – first of all, it is aimed at banning the export of any American technology to the drone manufacturer. This could severely disrupt supply chains and disrupt DJI’s business. In addition, US stores are unlikely to be able to directly sell or do business with DJI products, especially if China responds with counter-restrictions.

The filing, adding DJI to the sanctions list, accuses the company of widespread human rights abuses in China through the inappropriate collection and analysis of genetic data or high-tech surveillance. This is likely a reference to DJI’s involvement in providing the Chinese government with drones to monitor detainee camps in Xinjiang Uygur Autonomous Region.

The document also notes that in exceptional cases where DJI products are required to analyze, detect and treat infectious diseases, they may not be subject to the ban. In all other cases, a preventive prohibition applies. It is unclear which of DJI’s drones and accessories may be exempt if any.

The new wave of US sanctions against Chinese companies is a serious escalation of the trade war with China. And it is introduced as a parting gift to the outgoing administration of President Donald Trump (Donald Trump). It is not clear if President-elect Joe Biden will continue this policy, but many believe the sanctions will remain in place after he takes office on January 20.

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