Archer Aviation, an electric air taxi developer, countered a lawsuit from rival Joby Aviation on Monday by filing claims that accuse Joby of deceiving the U.S. government and competitors by falsely claiming to be an American-made company. The federal court counterclaim states that Joby depended on a Chinese manufacturing subsidiary to acquire essential components from Chinese suppliers, with support from the Chinese government. Archer also claims Joby masked its “deep ties” to China by misrepresenting Chinese-origin aircraft materials as consumer goods, such as hair clips and socks, to avoid U.S. tariffs and foreign-influence scrutiny.
Joby was established in 2009 in Santa Cruz, California, with its headquarters there and additional operations in other U.S. cities and overseas, including Germany, Austria, Costa Rica, and Shenzhen, China, according to U.S. Securities and Exchange Commission documents.
Joby’s attorney, Alex Spiro, dismissed the allegations in a statement, claiming Archer’s “flailing business operations” led them to create “invented nonsensical theories,” and remarked, “We will see them in court.”
The countersuit follows four months after Joby accused Archer of trade secret theft in a California Superior Court lawsuit in Santa Cruz County. Joby claimed that ex-employee George Kivork took trade secrets to Archer, who then utilized them.
Both Joby and Archer, headquartered in San Jose, California, became public companies in 2021 through mergers with special purpose acquisition companies. They are competing in similar markets, developing electric air taxis and exploring defense applications for their technologies.
The countersuit’s timing is significant, with references to a recent executive order by President Trump directing the U.S. Department of Transportation (DOT) and Federal Aviation Administration (FAA) to initiate a pilot program fostering electric vertical takeoff and landing aircraft development. Both companies applied to this program, known as the Advanced Air Mobility and Electric Vertical Takeoff and Landing Integration Pilot Program.
The complaint alleges Joby, presenting itself as “Committed to American Innovation,” secured significant U.S. government funding, including U.S. Air Force contracts, positioning itself as a key figure in President Trump’s 2025 “Unleashing American Drone Dominance” initiative.
On Monday, the DOT and FAA approved eight pilot program proposals covering 26 states. Archer was approved for three, and Joby for five.