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Trump administration eyes funding boost for U.S. drone makers

Wall Street Journal US Business •
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The Trump administration is negotiating financing for a handful of U.S. drone makers as it pushes domestic production and cheaper weapons. Talks involve firms that have been courting the Pentagon for months, notably Unusual Machines, a venture tied to Donald Trump Jr., and Neros, both slated for potential capital infusion. The deal could also unlock export opportunities for the firms.

The dialogue follows a series of meetings between private‑sector drone developers and the Defense Department, with the Office of Strategic Capital—the Biden‑era lending unit aimed at shoring up national‑security supply chains—now on the table as a possible source of low‑cost debt. Officials say the goal is to lock in U.S. production before foreign competitors capture market share, including radar and sensor kits.

Investors are watching the talks for clues about future procurement contracts that could lift revenue for a fragmented industry valued at several billion dollars. A successful financing round would likely trigger consolidation among smaller players and give the United States a more reliable drone supply chain. The administration now has a concrete financing pathway to pursue in the near term.