China establishes new department to enhance low-altitude economy
China's leading economic planner has set up a new department dedicated to promoting the growth of the emerging low-altitude economy, reflecting the country's efforts to cultivate new sources of economic growth.
The term "low-altitude economy" refers to economic activities and industries focused on both manned and unmanned aerial vehicles operating in airspace typically within 1,000 meters above ground level.
According to the National Development and Reform Commission (NDRC), this newly created department will be responsible for formulating strategic, mid-term, and long-term development plans, providing policy recommendations, and coordinating major low-altitude economy-related issues.
Recent updates on the NDRC website indicate that the department has hosted symposiums aimed at advancing the development of low-altitude infrastructure and intelligent network systems.
The industry is flourishing in China, with over 50,000 companies involved in related sectors as of September, according to market research firm CCID Consulting. The firm projects the low-altitude economy's size to exceed 670 billion yuan in 2024, with expectations to surpass 1 trillion yuan by 2026.
The Civil Aviation Administration of China reported that, by the end of 2023, there were 689 general aviation firms in the country, with 3,173 registered general aviation aircraft and 451 established general aviation airports. In the first half of this year alone, approximately 608,000 new drones were registered, marking a 48 percent increase since last year.
Several cities, including Beijing, Shanghai, Shenzhen, and Suzhou, have introduced supportive policies aimed at nurturing the low-altitude economy.
Li Deren, a distinguished expert in photogrammetry and remote sensing, informed CN that improvements in infrastructure and flight service systems for the sector are expected in the coming years, fueled by advancements in intelligent network technologies and enhanced management practices. Li, who received the 2023 State Preeminent Science and Technology Award, believes the low-altitude market could potentially reach 3 trillion yuan and asserts that the formation of a governing body is timely.
This year marks the first instance where the term "low-altitude economy" appears in the Chinese government’s work report. A key resolution from the reform-themed third plenum of the 20th Communist Party of China Central Committee, held in July, outlined plans for developing general aviation and the low-altitude economy.
Various departments, including the CAAC, the Ministry of Industry and Information Technology (MIIT), and the Ministry of Transport (MOT), have formed specific teams aimed at fostering the low-altitude economy and have introduced relevant policies to accelerate its growth from multiple angles.
In November, the MIIT convened the first plenary meeting of the low-altitude industry development leading group, which aimed to clarify the development trajectory of this emerging sector. The group examined and designated key tasks intended to promote high-quality growth in the low-altitude industry, which the ministry highlights as essential for cultivating new valuable productive forces and economic growth engines.
On December 17, the MOT released regulations governing general aviation airports, which prioritize safety in operations while promoting cost-effectiveness and efficiency. These regulations seek to ease restrictions on airports with minimal public impact, allowing both large and small general aviation airports to thrive and invigorate market activity.
Additionally, the China Meteorological Administration will collaborate with the National Data Bureau to establish demonstration projects utilizing detailed meteorological data to support the development of the low-altitude economy.
Read more:
- China develops new growth engine through low-altitude economy
- Chinese cities boost low-altitude economy with tourism and technological innovation
- Expert: China's low-altitude economy set to boom
Emily Johnson for TROIB News