China Is Making Sure Its Low-Altitude Economy is Ready for Takeoff
By Fang Zuwang and Han Wei
China is looking to the skies for future growth as it nurtures its nascent low-altitude economy with efforts to launch pilot programs for new aviation services.
The National Development and Reform Commission (NDRC), the country’s top economic planner, is to create a Low-Altitude Economy Department to oversee the sector as it takes off, according to Chen Zhijie, director of the State Key Laboratory of Air Traffic Management System and Technology.
At the same time, the central government is drawing up detailed industry guidelines to establish a regulatory framework for the sector, Chen said at a Monday forum.
At a separate event, Sun Weiguo, a senior official at the China Air Transport Association, said that the Air Traffic Control Commission (ATCC), is to launch pilot programs for electric vertical take-off and landing (eVTOL) aircraft operations in six cities, including Shenzhen.
“The government is deeply committed to advancing the low-altitude economy,” said Chen.
The NDRC, as a comprehensive management authority, is well-positioned to coordinate the development of the low-altitude economy, which covers key areas such as airspace management, aircraft airworthiness, low-altitude supervision and the building of infrastructure. The process involves a number of agencies, including the Air Force, according to Chen.
Chinese policymakers are exploring the skies for innovative ways to stimulate economic growth.
China is already the world’s leading designer and maker of aerial drones. It has risen on the back of firms such as SZ DJI Technology Co. Ltd., a trailblazing manufacturer of drones. Now, policymakers want to use that expertise to add a dividend to other sectors, such as improving delivery speeds for parcels and adding value to tourist jaunts.
The low-altitude economy involves the use of manned and unmanned aircraft operating at low elevations to provide services across industries such as transportation, logistics and tourism, as well as supporting vehicle manufacturing.
In the central government’s work report presented during March’s “Two Sessions,” Premier Li Qiang highlighted this emerging sector as a strategic industry and a potential new driver of GDP growth.
At an April press conference, Jin Xiandong, director of the NDRC’s policy research office, identified several challenges facing China’s low-altitude economy, including the need for better top-level planning, enhanced safety oversight and improved infrastructure. He emphasized that the NDRC would be working with the relevant departments to support the sector’s development.
Across China, local governments are eager to use the low-altitude economy as a new driver for growth. In Guangzhou, a policy document released in October designates the city’s development and reform department to lead and coordinate low-altitude economic activities, including policy development and planning.
Airspace management remains a critical focus for the sector. The ATCC, established in March 2021 as China’s top authority on airspace management, is central to overseeing the sector’s development.
As part of this effort, the ATCC is launching pilot programs to introduce eVTOL services in six cities, opening up specific low-altitude airspace for civilian use. As a key player in the low-altitude economy, eVTOL — an innovative new-energy aircraft — has garnered strong support from local governments. Some industry experts even predict it could become the next major industry after the success of new energy vehicles.
Jia Siyuan, co-founder of eVTOL manufacturer ZeroG, told Caixin the pilot programs will reflect the broader reform approach for low-altitude airspace, with certain management functions being delegated to local governments.
Contact reporter Han Wei (weihan@caixin.com)
caixinglobal.com is the English-language online news portal of Chinese financial and business news media group Caixin. Global Neighbours is authorized to reprint this article.
Image: Robirensi- stock.adobe.com