ePropelled Receives $60 Million U.S. Government Funding to Enhance Drone Propulsion Manufacturing

ePropelled Expands New Hampshire Manufacturing Operations

U.S. drone propulsion manufacturer ePropelled has announced a significant expansion of its manufacturing operations in New Hampshire, supported by $60 million in funding from the U.S. government.

Expansion Details

The company plans to increase its production space in Laconia from 20,000 square feet to 80,000 square feet. This expansion is expected to enhance the production capacity of propulsion systems by more than four times.

The funding is part of the Department of War‘s Industrial Base Analysis and Sustainment program, which aims to bolster the U.S. industrial base and domestic production of critical technologies. ePropelled anticipates that this investment will help meet the growing demand from government programs, allied nations, and commercial drone manufacturers.

Enhancements to Manufacturing Capabilities

The expanded facility will feature:

• Automated production lines
• Precision motor manufacturing
• Controller assembly
• Automated testing
• Integrated quality systems

ePropelled plans to increase the production of motors, electronic speed controllers, and complete propulsion systems. The expansion is also expected to create additional manufacturing and engineering jobs in New Hampshire.

Focus on Domestic Supply Chain

This investment addresses the challenge of building U.S. drones at scale, which requires a reliable domestic supply chain for essential components. Key components include motors, electronic speed controllers, batteries, sensors, and communications systems.

A recent analysis highlighted that increasing aircraft production necessitates enhanced capacity throughout the supplier network. This issue has gained importance as federal policy shifts toward trusted and domestic UAS supply chains.

ePropelled’s expansion is part of a broader initiative to localize its propulsion supply chain. In August 2025, the company announced plans to produce NDAA-compliant propulsion systems at its Laconia facility, integrating various manufacturing processes into U.S. production.

Advancements in Propulsion Technology

ePropelled has also moved beyond individual motors to develop integrated propulsion and power management systems. Earlier this year, the company introduced new electronic speed controllers and Intelligent Power Systems designed to optimize motor performance and electrical power management across uncrewed platforms.

The company’s product lineup includes Sparrow motors for smaller UAVs, Falcon propulsion systems for higher-power applications, and Hercules hybrid systems for longer-endurance aircraft. Additionally, ePropelled has introduced an integrated propulsion platform for agricultural drones.

The federal investment is expected to enable ePropelled to manufacture these technologies at a larger scale. The company aims to deliver electric propulsion technology that is designed, engineered, and manufactured in the United States, positioning itself as a key supplier of propulsion systems for uncrewed aircraft and advanced mobility platforms.

The expanded manufacturing operation will become fully operational following facility upgrades and equipment installation, although a specific completion date has not been provided.