The Commercial Drone Alliance (CDA) has released a new white paper outlining policy recommendations aimed at strengthening the domestic drone industry and reducing reliance on foreign components.

The report, titled Advancing the Domestic Drone Industry, positions recent federal actions, including the Federal Communications Commission (FCC) decision to add foreign drones and critical components to its Covered List, as a turning point for U.S. drone policy.

According to the CDA, that action ?sends a clear signal to the domestic ecosystem about the importance of domestic drones to the federal government,” but must now be paired with coordinated industrial policy to support growth.

The white paper describes the U.S. commercial drone sector as being at a critical stage. While adoption is growing across industries such as public safety, infrastructure, and agriculture, structural challenges continue to limit expansion.

On the demand side, regulatory uncertainty remains a key issue. The CDA notes that ?the future regulatory environment for routine drone use remains undefined,” which makes it difficult for operators to invest at scale.

On the supply side, the report highlights long-standing reliance on overseas manufacturing. Many essential components, including sensors, batteries, and printed circuit boards, are still produced outside the United States at scale.