It's just a method of forging. Also known as impact impression die forming. Dies in the shape of the desired part are made and the top die is hoisted and then dropped on top of the bottom die, then the excess material that's squeezed out the sides ("flash") is trimmed away. It's an economical method of repeatedly creating near-net forged shapes. Most of the cost of those knives is in the finish work and sheaths, as well as paying off the very high cost of the dies, but the unit cost of the forgings is extremely low. Because of the cost of the tooling but massive cost reduction of the per-unit product drop forging is usually used only when you're going to be producing a large volume of product.