ePropelled Receives $60M to Quadruple UAV Propulsion Capacity

Electric propulsion manufacturer ePropelled will quadruple its production capacity for uncrewed aerial vehicle (UAV) systems following a $60 million investment from the U.S. government. The funding will expand the company’s manufacturing footprint in Laconia, New Hampshire, from 20,000 to 80,000 square feet.

Announced in a press release on August 11, 2026, the expansion is supported by the Industrial Base Analysis and Sustainment (IBAS) program. The initiative aims to strengthen the domestic supply chain for mission-critical drone technologies and reduce reliance on foreign suppliers for dual-use electric propulsion systems.

Scaling domestic UAV production

ePropelled specializes in electric motors, electronic speed controllers, and complete propulsion systems for uncrewed aircraft. The newly announced facility expansion will allow the manufacturer to increase its annual production capacity by a factor of four. This scale-up addresses accelerating demand across defense, public safety, logistics, and agricultural markets.

In the company statement, ePropelled CEO Nick Grewal described the investment as a significant milestone for both the company and the broader U.S. advanced manufacturing sector.

“As demand for high-performance uncrewed systems continues to accelerate, expanding our manufacturing capacity ensures that we can deliver reliable, scalable, and secure propulsion systems produced in the United States,” Grewal said. “We are proud to support the government’s objective of strengthening domestic manufacturing while helping customers across government and commercial markets deploy advanced capabilities faster.”

Supply chain security and intellectual property

The $60 million injection aligns with broader federal objectives to secure the supply chain for critical aerospace components. By funding domestic production through programs like IBAS, the U.S. government is actively working to mitigate risks associated with offshore manufacturing of dual-use technologies.

Since its founding in 2018, ePropelled has developed a substantial portfolio of intellectual property to support these manufacturing efforts. The company has generated more than 40 patents across 13 categories, focusing on power and propulsion innovations for aerospace applications.

AirPro News analysis

The $60 million investment in ePropelled highlights a growing urgency within the U.S. defense apparatus to onshore critical subcomponents for uncrewed aerial systems. While airframe manufacturing has largely remained domestic for defense applications, propulsion systems and electronic speed controllers have historically relied on international supply chains. By quadrupling ePropelled’s capacity, the Industrial Base Analysis and Sustainment program is directly addressing a known bottleneck in UAV procurement. We expect to see similar targeted investments in domestic component manufacturers as the government continues to prioritize scalable, attritable uncrewed systems.

Sources: ePropelled