DJI Faces Supply Challenges Amid US-China Tensions
DJI has reportedly faced significant challenges in maintaining stock levels of its drones in the United States, amidst ongoing geopolitical tensions and regulatory scrutiny. A recent visit to a Best Buy store on June 24 revealed that no DJI drones were available for purchase. The DJI aisle was devoid of both products and pricing information, except for a few accessories, prompting concerns about the company’s future in the US market, reports 24brussels.
Best Buy employees attributed the lack of drones to “the US-China thing,” highlighting the broader implications of international relations on product availability. This situation is not isolated; DJI’s own US webstore currently lists no drones in stock, as reported on Monday by industry sources. Customers seeking DJI products on Amazon are met with offerings mainly from third-party sellers, often with limited quantities.
Noteworthy is that other specialty retailers, such as Adorama and B&H, are also running low on DJI’s latest models, with many marked as temporarily out of stock. As of this week, the remaining available options primarily include older models and refurbished versions, which raises questions about the company’s inventory strategy moving forward.
DJI spokesperson Daisy Kong reiterated the company’s commitment to the US market, attributing recent supply issues to complications with US Customs and Border Protection (CBP). In a statement, Kong noted, “DJI remains committed to the US market. As we’ve previously shared, DJI has been working with U.S. Customs and Border Protection to resolve a custom-related misunderstanding.” However, this issue has hindered DJI’s ability to import drones and parts, leading to consumer frustration.
Further complications arise as concerns emerge over US tariffs on Chinese products and China’s restrictions on exports, which have reportedly inflated costs for US buyers. Despite DJI’s attempts to clarify these challenges, the absence of any commentary from US Customs adds an element of uncertainty surrounding the situation.
In previous communications, DJI suggested that accusations linking its products to the Uyghur Forced Labor Prevention Act had contributed to difficulties in drone imports. This law applies stringent restrictions on goods produced with forced labor, and while DJI has denied these allegations, the implications continue to cast a shadow over its operations in the US.
While Best Buy has declined to confirm its future plans regarding DJI’s products, the potential for a proactive withdrawal from the US market raises significant questions. With a looming deadline for a de facto ban on new DJI products unless the company can secure a favorable audit from the US government, the stakes are high. DJI’s head of public policy previously indicated that the company may continue to sell existing products in the US even as it introduces new models elsewhere, a strategy that appears to be unfolding ahead of potential restrictions.
As DJI experiences increased costs and delays, reports suggest that customers may face turnaround times of up to 90 days for repairs. Additionally, the rising prices of DJI products have been partially attributed to tariffs, signaling that financial pressures from geopolitics have permeated the company’s pricing strategy.
The culmination of these factors paints a challenging picture for DJI in the US market, as the company grapples with regulatory scrutiny, supply chain difficulties, and the broader implications of international relations.
