Unusual Machines won its biggest Pentagon drone contract after Trump Jr. invested $4M

Defense startup Unusual Machines has secured its largest military supply contract to date after the Pentagon approved a new purchase of drone parts for the US Army.

The company confirmed it will produce 3,500 drone motors along with other parts that the Army requested. The order is part of a wider effort to expand American-made drone capabilities.

Donald Trump Jr. holds about 331,580 shares in Unusual Machines, valued at roughly $4 million at the time of disclosure. The company said the Army has also signaled interest in ordering an additional 20,000 components next year.

Unusual’s CEO Allan Evans described it as the company’s largest US government order so far, though he did not share the contract’s value.

Army requests large-scale drone supply

The contract arrives during a period where the Pentagon is directing forces to train with the same systems they expect to use in real operations. Chief Warrant Officer 4 John Brown of the 101st Airborne Division said the new equipment matters because “the ability to train like we fight, using drones that are reliable, gives our soldiers the confidence they need for real-world scenarios.”

After the contract announcement, shares of Unusual Machines rose as much as 13% on Friday. This is not the first time the stock surged following involvement from Trump Jr. Data from the Financial Times shows that it nearly tripled in price in the weeks before the company publicly named him as an adviser in November 2024.

Following that announcement, the company disclosed that Trump Jr. owned those 331,580 shares. There is no requirement for him to report whether he has sold any. Evans said earlier this year that Trump Jr. continued investing in new fundraising rounds.

Addressing questions about the Pentagon contract, Evans said Trump Jr. “did not advise or do anything else on this deal.” A spokesperson for Trump Jr. allegedly said: “Don has never communicated with anyone in the administration on behalf of Unusual Machines or about the contract in question. His advisory role with them has nothing to do with interfacing with the government.”

Contract follows new defense policy push

The Pentagon contract follows a June executive order signed by President Donald Trump aimed at boosting the US drone manufacturing base for both commercial and military use.

After that order, Defense Secretary Pete Hegseth moved to speed up drone production and deployment, giving commanders authority to procure and test technology more directly.

US Army Secretary Daniel Driscoll said earlier this month that the Army is leading counter-drone development for the Pentagon, stating the Army will “equip soldiers with these kinds of expendable drones that deliver devastating effects at a massive discount.”

Driscoll also described a plan where special forces units, including the Ranger Regiment and Delta Force, operate with drones and embedded software engineers as standard practice.

The company has also expanded partnerships in the defense industry. It signed a $12.8 million agreement with Strategic Logix in September, and another $1.6 million deal in August with a US-based drone manufacturer whose name was not disclosed.

However, tariffs remain a financial issue.

Unusual Machines reported a $3.3 million operating loss in the first quarter, saying higher costs from sourcing parts outside China added pressure. The company said that the shift to more domestic manufacturing may continue affecting profit margins.

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