AUSTIN, Texas – A December 2024 report from the Texas House Select Committee on Securing Texas from Hostile Organizations highlights concerns over Chinese-made drones, citing risks to national security and potential espionage.
The report recommends banning first responder agencies from purchasing Chinese-made drones and phasing out those already in use through a taxpayer-funded grant program.
National Security Concerns
An investigation by Robert Montoya from the Texas Scorecard revealed that state and local government agencies had been buying and using drones from CCP-linked Da-Jiang Innovations (DJI).
Scott Shtofman of the Association for Uncrewed Vehicle Systems International (AUVSI) testified during a committee hearing about the dangers of foreign dominance in the drone market, specifically from DJI.
“Foreign dominance in the UAS [unmanned aircraft systems] market, primarily led by Communist China’s DJI, poses both economic and security threats to the United States economy and critical infrastructure,” Shtofman stated, “Supported by PRC [People’s Republic of China] subsidies, DJI drones have captured the majority of the global market, raising concerns about potential cyber espionage, data security, and the integrity of U.S. infrastructure.”
The Texas Scorecard reported that DJI supplied almost 80 percent of the drone market in North America and 70 percent globally, based on data from the Australian Strategic Policy Institute (ASPI).
“This presents a significant security threat, especially when the unmanned aerial vehicles are deployed in pursuit of law enforcement and other first responder objectives,” the committee wrote in its report. They noted that in many states, DJI supplies over 90% of drones used by government agencies.
Espionage Risks
Michael Lucci from the security firm State Armor testified before Texas lawmakers on how drones are a part of the CCP’s agenda for infiltration and global dominance.
Lucci also highlighted the espionage risks associated with Chinese corporations. “In 2017, a National Security law passed in China requiring all Chinese companies to collect data and transmit it back to government entities in Beijing, which is referred to as ‘spy and lie,’” he stated. The report further emphasized how economic factors influence the approach states like Texas take to mitigate these risks compared to others.
“The CCP has shifted from a strategy of peaceful coexistence to one of attempting to become the leading global power,” Lucci explained. According to the Texas House report, Lucci outlined how the CCP leverages its companies to influence local and state governments, creating dependencies that effectively make them client states.
The CCP’s efforts to establish reliance extend beyond drones, encompassing critical technologies such as DNA sequencing tools, port cranes, vehicle connectivity devices, and traffic cameras. “The CCP seeks dominance in areas where technology has both civilian and military applications,” the report noted.
Professor Adam Klein, from UT Austin’s Strauss Center for International Security and Law, stated in the report, “Espionage involves covert operations to gather information about individuals, facilities, or technologies of interest to foreign governments.” The report shared instances where Chinese nationals allegedly used drones to surveil sensitive sites within the United States.
Intellectual Property Theft
The CCP’s ambitions extend beyond its current market dominance. Scott Shtofman testified that the “Made in China 2025” initiative aims to “dominate strategic sectors” such as the drone industry. To achieve this, the CCP engages in systematic intellectual property theft in order to undermine U.S. innovation.
“The PRC’s policy of systematic theft stifles U.S. innovation by dissuading investment and reducing competitiveness in the market,” stated the report, which added that the unmanned aerial systems sector is particularly vulnerable, given its rapid technological advancements, including drone delivery services.
DJI’s influence has also reached state legislatures. In 2019, the company hired lobbyists to advocate for expanding drone usage and limiting restrictions in Texas. State Rep. Tony Tinderholt (R–Arlington), who had warned of DJI’s espionage risks, successfully led efforts to block the company’s initiatives during that session.
On January 16, 2025, Lucci highlighted an incident involving Chinese exchange students who reportedly used drones to capture images of U.S. military training exercises. “China’s drone manufacturer, DJI, has weakened the ‘geofencing’ of its drones in the U.S., making it easier for people to [fly] these drones over military bases.”
In response, DJI defended its geofencing updates, stating they align with Federal Aviation Administration (FAA) airspace regulations. “The GEO system has always been an educational tool, not an enforcement tool,” DJI’s public relations team said, emphasizing the changes aim to streamline operations for public safety and commercial use. “There has been no evidence of increased risk.”
Federal Actions and Legislative Proposals
The Texas House Select Committee on Securing Texas from Hostile Organizations recommended stricter measures, including:
- Banning future purchases of Chinese-made drones by first responder agencies.
- Establishing a taxpayer-funded grant to phase out existing Chinese-made drones.
- Creating a state-level foreign agent registration process to ensure transparency for lobbying by foreign entities.
“A state-level FARA will close loopholes in the federal system and enhance accountability,” the report stated.
Both the Trump and Biden administrations have taken measures to limit the use of Chinese drones, including the Countering CCP Drones Act and federal sanctions on DJI for alleged human rights violations. Texas has also banned state agencies from procuring DJI drones by placing the company on its prohibited technologies list.
Ongoing Concerns
Despite these actions, DJI continues to defend its products as safe and cost-effective tools for public safety. “Countless public safety agencies across America have testified that DJI drones are operationally superior and lifesaving tools,” DJI’s public relations team said.
Lawmakers remain cautious, citing DJI’s lobbying efforts in Texas to expand drone usage and limit restrictions. The committee’s recommendations are part of broader efforts to address foreign security threats, with additional legislative measures expected in future sessions.
