Aviation, eVTOL Stocks Trade Higher Pre-Market After Friday’s (June 6) Executive Orders
In three executive orders, President Trump directed the FAA to repeal limitations on supersonic flight over land, bolstered U.S. defense against threatening drones & encouraged eVTOL testing and manufacturing.
(United States of America) Aviation and electric vertical takeoff and landing (eVTOL) / electric air taxi stocks are trading higher across the board pre-market after President Trump on Friday, June 6th signed executive orders to repeal limitations on supersonic flight over land, bolster U.S. defense against threatening drones & direct the Federal Aviation Administration (FAA) to green-light manufacturers to continue testing programs for eVTOLs and flying cars.
Rendering of Boom Supersonic’s forthcoming Overture airliner flying over land courtesy of Boom Supersonic on Instagram, @boomsupersonic.
"Future flight"-related equities – in particular, eVTOL and air taxi stocks, including Archer Aviation (NYSE: ACHR), Eve Air Mobility (NYSE: EVEX), Joby Aviation (NYSE: JOBY), New Horizon Aircraft Ltd. (NASDAQ: HOVR) and Vertical Aerospace (NYSE: EVTL) – are trading between 6 and 11 percent higher pre-market (** as of the time of publication of this article).
Specifically, in three executive orders passed on Friday, President Trump (1) sought to enable routine use of drones beyond the visual sight of operators – a key step to enabling commercial drone deliveries – and reduce U.S. reliance on Chinese drone companies, (2) encouraged the FAA to advance the testing and manufacturing of eVTOL aircraft, electric air taxis and flying cars and (3) directed the FAA to lift a 1973 ban imposed on supersonic air transport over land, so long as aircraft do not produce audible sonic booms on the ground and in accordance with a system that will regulate aircraft noise levels, according to Reuters.
New regulations for supersonic flight will be a boon specifically to manufacturers including Boom Supersonic, Hermeus and Spike Aerospace, and to NASA’s X-59 Quiet Supersonic Technology (Quesst) aircraft program.
The White House’s Fact Sheet regarding Supersonic Flight, Aerospace Innovation and Advancing America’s Technological Leadership can be read here.
Rendering of Boom Supersonic’s forthcoming Overture airliner flying over the Washington Monument courtesy of Boom Supersonic on Instagram, @boomsupersonic.
Trump’s executive orders also establish a pilot program for eVTOLs, which his administration hopes will lead to public-private partnerships across the country; the program is based on a previous 2017 program from the first Trump administration and will apply to emergency medical services, air taxis and cargo deliveries, among other areas, according to USA Today.
The Trump administration says that the eVTOL pilot program will allow companies that are already conducting this type of testing to partner with state, local and tribal governments, per USA Today.
More about President Trump’s orders re: drones and eVTOLs can be found here, in the White House’s June 6th release, “Presidential Actions Unleashing American Drone Dominance.”
Rendering of Archer Aviation’s electric vertical takeoff and landing (eVTOL) aircraft flying to the 2028 Los Angeles Olympics courtesy of Archer Aviation.
"This year, flying cars are not just for the Jetsons. They are also for the American people in the near term," Michael Kratsios, director of the White House Office of Science and Technology Policy, told reporters.
Photo of Joby Aviation’s electric vertical takeoff and landing (eVTOL) aircraft in flight courtesy of Joby Aviation.
“[President Trump’s] executive orders will accelerate American innovation in drones, flying cars and supersonic aircraft and chart the future of America’s skies for years to come," Kratsios said, per Fox News. "Our message is simple. American innovation belongs in American aerospace."
