Samara Duerr, a policy analyst for the National Security Team at the Research Institute for Democracy, Society, and Emerging Technology (DSET), was recently interviewed by Taiwan`s national broadcaster Radio Taiwan International (RTI), which features a program that translated the interview for a Ukrainian audience.
Duerr discussed Taiwan’s emergence as the 10th largest import source for Ukraine’s unmanned aerial vehicle (UAV) industry from 2022-2025, which was determined by compiling data from Ukraine’s official statistics service (Ukrstat) and Eurostat. Duerr explains that in this time period, Taiwan exported approximately $20 million USD worth of drone units to Ukraine—surpassing U.S. exports of $9.6 million USD in 2025 alone.
However, Duerr noted that these figures significantly underestimate the actual volume of cooperation. The data excludes over 122,000 units routed through Poland and the Czech Republic via third parties and charitable organizations in 2025. Furthermore, the official metrics only track full drone units, completely missing the booming trade in critical microelectronics and components—as DSET interviews found that Ukrainian UAV companies are increasingly sourcing airframes, battery cells, flight controllers, and motors directly from Taiwan. This shift aligns closely with Chinese export restrictions on UAV parts implemented over the past two years, causing Ukrainian firms to look for alternative suppliers.
Duerr emphasized the strategic significance of upgrading this cooperation into a formal alliance to build a reliable, “non-red” supply chain. While Ukraine possesses a robust, combat-tested drone ecosystem and highly advanced battle management software like the DELTA system, it lacks a strong manufacturing base for domestic hardware. Taiwan, with its world-class semiconductor and electronics integration capabilities, is uniquely positioned to fill these gaps.
DSET recommends a two-track approach: establishing a “volume-first” pipeline for cost-effective consumable components, and fostering joint ventures for long-range and high-attribute drones.
Despite these clear mutual benefits, Duerr’s analysis outlines several political and logistical barriers limiting growth. Politically, direct government-to-government cooperation remains quiet due to Ukraine’s concerns over provoking China, leading to reliance on trilateral partnerships with American or European firms. Logistically, geographic distance and the absence of a dedicated Taiwanese operations hub in Europe complicate supply chains. Additionally, Ukrainian manufacturers cited short-term contracts as a major growth blocker, indicating that Taiwan must offer long-term agreements and state guarantees to compete with localized coproduction initiatives currently funded by European nations.
The discussion also addressed the severe impact of recent domestic legislative decisions on Taiwan’s own drone sector. Late last year, the Taiwanese government proposed a historic NT$1.25 trillion (approx. US$40 billion) Special Defense Budget to procure roughly 200,000 drones and 1,320 unmanned surface vessels (USVs). However, the budget was slashed to NT$780 billion in May, removing all domestic procurement components. Duerr warned that this represents a major setback for Taiwan’s defense preparedness and deterrence capabilities. With the military currently operating fewer than 5,000 drones, the cuts force the domestic industry into a near two-year standstill just as global powers are scaling their unmanned fleets into the millions.
In response to these domestic funding uncertainties, Duerr noted that Taiwanese companies are actively pivoting toward international outreach. The Taiwan Alliance for Drone Overseas Business Opportunity (TEDIBOA) continues to expand its global footprint, recently signing Memoranda of Understanding with the Japan UAS Industry Development Association (JUIDA), Ukraine’s IRON Lviv cluster, and the Polish Chamber of Unmanned Systems (PISB). These agreements aim to anchor Taiwan in a China-independent supply chain and sustain the industry’s growth on a business-to-business level despite domestic hurdles.
