The low-altitude economy is an economic concept based on airspace close to the ground, with the general aviation sector playing a dominant role. It includes economic sectors such as low-altitude flying, air tourism, passenger transportation, general aviation services, scientific research and education, among others. (Xinhua/Yang Qing)
Political support: the strategic importance of the low-altitude economy is growing
In 2024, Chinese governments at all levels stepped up their commitment to promoting the low-altitude economy, accompanied by a variety of new policy measures. The “Master Plan for an Integrated National Transportation System” introduced the term “low-altitude economy” for the first time. The Central Economic Conference emphasized the promotion of strategic new industries such as biotechnology, commercial space and the low-altitude economy. Since the beginning of 2024, more than 20 provinces have submitted specific development plans for the low-altitude economy. These measures create a solid foundation and provide a clear direction for future development.
Technological development: eVTOL as a driving force
Electric vertical take-off and landing (eVTOL) aircraft are among the most promising areas of the low-altitude economy and are on the verge of commercialization. The EH216-S model from Chinese company EHang is the world’s first unmanned, manned air cab to receive all three airworthiness certificates. This underlines China’s technological leadership and efficiency in certifying such innovations.
It is predicted that more Chinese manufacturers will complete their certifications between 2025 and 2026. As a result, eVTOL will be increasingly used in areas such as emergency rescue and tourism and gradually integrated into urban mobility.
Market potential: a new industry worth trillions is emerging
According to the China Electronics Information Industry Development Institute, the market value of the Chinese low-altitude economy amounted to around 506 billion yuan in 2023 – a year-on-year growth of 33.8%. The industry is expected to exceed the 1 trillion yuan threshold by 2026.
The wide range of applications for low-altitude technologies such as drones and eVTOLs in the fields of logistics, mobility and rescue services illustrate the immense potential. These technologies are creating the basis for a new trillion-dollar industry that offers both economic opportunities and social benefits.
International competitiveness: China’s influence on the global low-altitude economy
Chinese companies are setting standards in the global competition of the low-altitude economy. One example is United Aircraft, which impresses with its 6-ton tilt-rotor aircraft “Lan Ying R6000” (https://www.uatair.com/product/info/69.html). This model impresses with its high speed, range and carrying capacity and is seen as the ideal solution for urban air mobility.
These innovations underline China’s technological ambitions and competitiveness on an international level.
Conclusion
The low-altitude economy in China is at a turning point. With the commercialization of key technologies such as eVTOL, the low-altitude economy will play a central role in China’s economic development and on the global market.
The potential applications – from logistics and tourism to urban management – open up new growth prospects and provide important impetus for sustainable economic development. The low-altitude economy will therefore not only become a cornerstone of China’s innovative strength, but also an engine for the qualitative development of the national economy.