Publication date: March 23, 2025
Anduril Considers UK Factory Amid European Defense Spending Boost

Anduril Considers UK Factory Amid European Defense Spending Boost

Autonomous drone maker Anduril is exploring plans to open a factory in the UK as Europe looks to increase defense spending.

Geopolitics

Anduril Industries, a leading manufacturer of autonomous drones, is considering opening a manufacturing facility in the United Kingdom as Europe aims to bolster its military capabilities. This move comes in response to the European Union's recent announcement of increased defense spending, prompted by the pause in US military aid to Ukraine.

Rich Drake, Anduril's UK and Europe manager, stated that the company would "absolutely" plan to open a facility in the UK if they receive sufficient orders. This development follows the UK government's recent £30 million contract award to Anduril for supplying drones to Ukraine.

The drones in question, the Altius 600m and Altius 700m, are classified as "loitering munitions" designed to monitor an area before engaging targets. The UK Ministry of Defence has noted Anduril's significant investment in the country and its plans for rapid expansion.

Anduril's potential UK factory is part of a broader trend of defense industry growth in Europe. The company, co-founded by Oculus founder Palmer Luckey in 2017, has secured numerous defense contracts from the US government, including a recent $642 million deal to develop anti-drone technology for Marine Corps bases.

The consideration of a UK manufacturing presence by Anduril reflects the shifting geopolitical landscape and the increasing focus on military preparedness in Europe. As tensions persist and defense priorities evolve, the move could signal a new era of defense technology production and collaboration between the US and its European allies.

For energy market analysts, this development may have implications for defense-related energy consumption and potential shifts in industrial energy demand in the UK. The establishment of advanced manufacturing facilities for military technology could influence local energy infrastructure and supply chains.