China’s low-altitude economy, which encompasses manned and unmanned aviation activities in airspace below 1,000 meters, has been officially positioned as a “national strategic emerging industry” and a new engine for growth. The sector’s value is projected to reach 1.5 trillion yuan (about $211 billion) in 2025 and exceed 3.5 trillion yuan by 2035, driven by rapid technological advancements and strong government policy support. This momentum is evident in the surge of related enterprises, with over 11,700 new registrations in the first five months of this year—a 220% year-on-year increase.
The growth is primarily powered by innovation in unmanned aerial vehicles (UAVs) and electric vertical take-off and landing (eVTOL) aircraft, often referred to as “air taxis.” Key applications are rapidly transforming various sectors: aerial logistics and drone delivery are speeding up last-mile distribution in both urban and remote areas; urban air mobility (UAM) promises future solutions for intercity commuting and sightseeing; and industrial drones are revolutionizing sectors like power line inspection, geological surveying, agriculture (spraying/sowing), and emergency rescue.Cities like Shenzhen and Wuhan are leading the charge, building comprehensive ecosystems that include advanced 5G-A low-altitude communication networks and new take-off and landing points. Manufacturers like EHang have received certifications for passenger-carrying pilotless aircraft, leveraging China’s strengths in battery technology and the mature electric vehicle supply chain. This concerted effort reflects a shift from simple manufacturing to high-value services, positioning the low-altitude economy as a core component of China’s future “new quality productive forces.”



