The Pakistan Army has signed a memorandum of understanding with US drone maker Powerus that includes an initial order for unmanned aerial systems — a deal notable not just for what it signals about warming US-Pakistan defense ties, but for the company’s pending merger with a firm backed by two of President Donald Trump’s sons.
What Was Actually Signed
Powerus co-founder Brett Velicovich confirmed the agreement to Reuters, saying the company signed “a very important MOU” that included an initial order for what he described as “power systems.” Asked what specific technology the agreement covered, Velicovich declined to provide details, citing security sensitivities, but confirmed the deal falls within the category of unmanned aerial systems. He also declined to disclose the order’s financial value, citing confidentiality. According to Pakistan’s military, a Powerus delegation led by Velicovich and company founder/CEO Andrew Fox met Chief of Army Staff and Chief of Defence Forces Field Marshal Syed Asim Munir at General Headquarters in Rawalpindi.
What Powerus Actually Makes
Powerus supplies aerial and maritime drones for both military and industrial applications. Beyond this initial order, discussions are reportedly already underway regarding potential local manufacturing capabilities within Pakistan for future hardware — a detail that, if it materializes, would extend the relationship well beyond a single equipment purchase into a longer-term defense-industrial partnership.
The Trump Family Connection
This is where the story gets more complicated. Powerus is in the process of merging with Aureus Greenway Holdings, a publicly traded company backed by Donald Trump Jr. and Eric Trump. According to US regulatory filings, an investment fund called American Ventures — associated with the two Trump sons — is set to hold a 9.9% beneficial ownership stake in the combined company once the merger closes, which both companies expect to happen in early October 2026.
| Detail | Information |
|---|---|
| Merging entity | Aureus Greenway Holdings (publicly traded) |
| Trump family stake (via American Ventures) | 9.9% beneficial ownership, post-merger |
| Expected merger completion | Early October 2026 |
| MOU signing location | General Headquarters, Rawalpindi |
How the Companies Are Addressing the Conflict-of-Interest Question
Given the optics of a Trump-linked company signing a defense deal with a foreign government while Trump remains US president, both Powerus and the Trump family have moved to address potential conflict-of-interest concerns directly. A spokesperson for Powerus said the company’s contracts were awarded on merit and that the Trump sons had no involvement in Powerus’s business operations. Separately, a spokesperson for Donald Trump Jr. said he had no involvement in the negotiation, procurement, or execution of this specific deal, stating he “had no prior knowledge of this deal and had no involvement of any kind in its negotiation, procurement or execution.” A White House spokesperson has also stated there are no conflicts of interest tied to the arrangement.
Why the Timing Matters: Warming US-Pakistan Ties
This agreement lands against the backdrop of a broader thaw in US-Pakistan relations following years of strained ties. Pakistan has been actively pursuing economic, financial, and defense initiatives aimed at strengthening its relationship with Washington, and a defense procurement deal with a US drone maker — however initially modest in scale — fits squarely into that broader diplomatic push.
What Remains Unclear
- The specific type and quantity of drones or “power systems” covered by the initial order
- The financial value of the deal
- Full details of the potential local manufacturing arrangement still under discussion
- Whether the pending Trump-linked merger will draw further regulatory or political scrutiny given the defense-contract timing
Final Thoughts
Beyond its immediate defense-cooperation significance, this deal sits at an unusually sensitive intersection of foreign military procurement and US presidential family business interests — a combination that’s likely to keep drawing scrutiny even as both Powerus and the Trump family maintain there’s no direct involvement or conflict. With the Aureus Greenway merger expected to close in early October and further Pakistan-based manufacturing talks reportedly already underway, this initial order looks like the opening chapter of a relationship that’s likely to expand rather than a one-off transaction.
