No Tariffs on Aerospace Products Traded Between U.S. and European Union
Nicholas Zovko & Rhett D. Ramsey
On July 27, 2025, the U.S. and EU reached a trade agreement. As part of the agreement, the U.S. will impose a 15 percent tariff “on the vast majority of EU exports.” President Trump signed an Executive Order on July 31 providing that the tariffs will go into effect on August 7.
However, a key commitment of the agreement includes an exemption for all aircraft and aircraft parts, such as engines, landing gear, and seats. The U.S. and EU agreed to zero-for-zero tariffs for aircraft and such parts. This latest agreement ends a 10% tariff on aircraft and aviation parts, which went into effect earlier this year.
A Launchpad for Startups in the Space Domain: Apollo Accelerator
In 2023, the U.S. Space Force launched the Space Domain Awareness (SDA) Tools, Application, & Processing (TAP) Lab. The SDA TAP Lab aims to accelerate the delivery of space battle management software to operational units.
An initiative of the SDA TAP Lab includes the Apollo Accelerator, a collaborative tech accelerator for industry, academia, and government to solve critical SDA challenges. The Apollo Accelerator creates an environment for collaboration between members of its “cohorts.” Cohorts are made up of creators and innovators in the space domain including, for example, startup companies and academics developing promising technologies. Companies such as Stelluvia Technologies and True Anomaly have participated in the Apollo Accelerator.
Proposed FAA Rule to Allow Drone Operations Beyond Visual Line of Sight
The Federal Aviation Administration (FAA) and Transportation Security Administration (TSA) on August 7, 2025, issued a notice of proposed rulemaking (NPRM) related to “drones.” The notice proposes regulations to enable operations of unmanned aircraft systems (UAS) at low altitudes beyond visual line of sight (BVLOS). The proposed rule, titled Part 108, is intended “to provide a predictable and clear pathway for safe, routine, and scalable UAS operations that include package delivery, agriculture, aerial surveying, civic interest, operations training, demonstration, recreation, and flight testing.”
In 2016, the FAA finalized Part 107, a rule governing operations of small UAS (up to 55 pounds). In 2021, the Part 107 rule was later amended to allow certain UAS operations over people and for night operations. However, the Part 107 rule in general prohibits operations beyond visual line of sight. Over the years, the FAA has relied on a flexible approach to allow larger, complex operations and BVLOS operations through individualized exemptions and waivers to existing Part 107 regulations.
3-2-1 Blast Off: US Space Force Trademark Dispute Aims for the Supreme Court
The trademark attorney Thomas D. Foster has found himself in ongoing legal star wars to register US SPACE FORCE as his personal trademark covering coins, jewelry, watches, license plate holders, toys, and other everyday goods. The Patent and Trademark Office rejected his application, a decision which the Trademark Trial and Appeal Board (TTAB) and then the Court of Appeals for the Federal Circuit upheld on appeal. Most recently, hoping to reverse these decisions, Mr. Foster has petitioned the Supreme Court to grant certiorari and review his case.
Mr. Foster filed his application on March 19, 2018, six days after President Trump mentioned, in a public speech to an audience of Marine Corps service members, the idea of a dedicated space military branch called Space Force. Multiple outlets reported it was unclear whether the president was joking when delivering these off-script remarks. The president’s intent later became clear, and on December 20, 2019, he signed a defense bill into law that established the U.S. Space Force as a sixth branch of the U.S. military. In 2020, Netflix premiered a satirical workplace comedy titled Space Force, starring Steve Carell, John Malkovich, and other well-known actors.
Firefly Aerospace Soars in $6.3 Billion IPO as Space Tech Investment Accelerates
Firefly Aerospace, Inc. (NASDAQ: FLY) completed one of 2025’s largest space technology initial public offerings (IPO) on August 7, 2025. Firefly priced its shares at $45 and closed its first day up more than 30% at $60.35, giving the company a valuation of approximately $8.5 billion. By August 22, 2025, Firefly’s shares were trading at $46.11, corresponding to a market capitalization of roughly $6.62 billion. The IPO raised $868 million, making it the largest offering in the space technology sector this year.
Founded by Tom Markusic, Firefly develops and operates space launch and lunar infrastructure technologies. Its Alpha rocket, a small-payload, carbon-fiber-based vehicle, is capable of transporting approximately one ton to orbit. Earlier this year, Firefly successfully completed a NASA-funded mission using its Blue Ghost lunar module, achieving the first fully successful soft lunar landing by a U.S. private entity. Firefly’s portfolio also includes the Elytra orbital vehicle and the Ocula lunar imaging service. According to its IPO filings, the company has a $1.1 billion project backlog with nine missions through 2029, including five for NASA, one for the U.S. Space Force, and three for commercial clients.
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