Trump’s Drone Tariffs Cause Temporary Drop in Israeli Next Vision Stock Amid Strategic US Production Plans

Next Vision, an Israeli drone technology company founded by Chen Golan, Boris Kipnis, and Michael Grossman, experienced a 5.7% stock decline on the Tel Aviv Stock Exchange following US President Donald Trump’s imposition of tariffs ranging from 25% to 100% on drones and related components imported into the United States. This drop occurred despite the company’s strong second-quarter 2026 financial results, including a 138% revenue increase to over $88 million and a 125% rise in net profit to $53.6 million compared to the same quarter last year. Additionally, Next Vision recently announced a $5.6 million order from a client, with 30% paid upfront.

The tariffs, which do not include Israel among countries eligible for exemptions, primarily target the dominance of the Chinese drone industry. However, Next Vision’s strategic plan involves starting production of stabilized drone cameras within the US in the first quarter of next year, following the launch of a production line in Europe last year and future plans for manufacturing in India. The company currently exports 27% of its products to the US, a key growth driver.

Next Vision is listed on the Blue UAS registry, which catalogs drones approved and monitored by the US Department of Defense. This status grants the company a 180-day delay before the tariffs take effect. The presidential order also offers incentives for companies to establish drone manufacturing facilities in the US by allowing tariff exemptions on imported components for production.

A drone industry expert told Calcalist that the initial market reaction may be an overreaction, as the full implications of the presidential order remain unclear, especially given Next Vision’s planned US production start. Despite recent US import tariffs, the company’s financial reports indicate minimal impact on its business performance over the past two years.