As democratic countries work to strengthen defense-industrial cooperation and reduce reliance on Chinese supply chains, Taiwan is emerging as a key partner in Ukraine’s rapidly growing drone sector. Focus Taiwan recently highlighted DSET research analyzing how Taiwan’s expertise in semiconductors, advanced manufacturing, and battery technology positions it to support more resilient, non-China-dependent drone supply chains, while also addressing ongoing challenges.
Focus Taiwan reported that Taiwan exported approximately 139,000 drones in the first quarter of 2026—surpassing the country’s total exports for all of 2025—with most shipments destined for Ukraine via Poland and the Czech Republic. Drawing on DSET National Security team’s April policy report, “Drone Superpower: Ukraine’s UAV Success and Where Taiwan-Ukraine Cooperation Fits In,” Focus Taiwan noted that seven Ukrainian drone companies are already sourcing flight controllers, batteries, motors, and other microelectronics from Taiwanese suppliers.
DSET National Security Policy Analyst Samara Duerr explained to Focus Taiwan that Taiwan’s strengths in microelectronics, semiconductor manufacturing, and advanced production capabilities could help address persistent shortages of high-end drone components in Ukraine. She also noted increasing demand for Taiwanese fiber-optic cables, imaging payloads, and sensors, while highlighting political sensitivities and ongoing reliance on Chinese components as key obstacles to deeper cooperation.
Focus Taiwan also cited DSET Energy Resilience team’s July policy report, “Powering Resistance: Opportunities and Challenges in Localizing Taiwan’s Drone Battery Supply Chain,” which found that Taiwanese battery manufacturers are playing a growing role in Ukraine’s drone ecosystem. The report notes that at least one Taiwanese company is shipping between five and seven million battery cells each month to Ukraine, while imports of Taiwan-origin storage batteries reached US$54.6 million in 2025.
The report highlighted analysis from DSET Energy Resilience Policy Analyst Angela Glowacki, who found that Taiwan’s nickel-manganese-cobalt lithium-ion battery cells have shown strong performance in cold-weather battlefield conditions and are already being deployed in first-person-view drones. However, she also emphasized that Taiwan’s battery industry remains heavily dependent on Chinese upstream materials—including cathode active materials, cathode precursors, and anode active materials—which continue to pose a significant challenge to supply chain diversification.
To strengthen Taiwan’s long-term competitiveness, DSET recommends standardizing drone battery specifications, securing international certifications, and expanding overseas manufacturing partnerships. Duerr concluded that Taiwan’s long-term success in Ukraine’s drone supply chain will depend on its ability to compete with Chinese manufacturers on cost, production scale, and delivery capacity, while continuing to leverage its technological advantages. DSET’s National Security and Energy Resilience programs will continue to monitor related developments.
