The skies above our cities are on the verge of a major transformation. For centuries, the space between our buildings and the cruising altitude of commercial aircraft has mainly remained untapped, a vast aerial frontier awaiting human innovation. This is rapidly changing as the low-altitude economy emerges as one of the most dynamic and promising sectors of global technological development.
Low Altitude Economy
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The Global Low-Altitude Economy, Q2 2025: Strategic Advances and Market AccelerationThe low-altitude economy, encompassing economic activities within airspace below 1,000 meters and extending to 3,000 meters when operationally necessary, achieved significant milestones during Q2 2025...
The low-altitude economy, encompassing economic activities within airspace below 1,000 meters, experienced remarkable growth in Q1 2025. This rapidly evolving sector, driven by advancements in cargo delivery, urban air taxi services, and medical transport, has gained momentum in China, where it is considered a strategic emerging industry with significant national investment. Over the past 45 days, China’s institutional reforms solidified its leadership position, Europe accelerated regulatory harmonization, and North America advanced urban air mobility integration. Concurrently, technological breakthroughs in battery technology and vertiport infrastructure have reached critical maturation points, enabling operational scalability across global markets. This report analyzes these key developments and their implications for the future of aerial mobility.
In a significant development for China's rapidly growing low-altitude economy, over 100 Chinese companies and research institutions have joined forces to form the China Low Altitude Economic Alliance. Officially established in Beijing in August 2024, the alliance aims to promote developing and implementing the low-altitude economy across cities in mainland China. The Chinese government, both at the central and local levels, is heavily promoting the development of the low-altitude economy.
Shanghai has adopted a comprehensive strategy to develop its low-altitude economy through the Action Plan for the High-Quality Development of Shanghai’s Low-Altitude Economy Industry 2024–2027. The city is poised to become a global leader in advanced air mobility by building a robust ecosystem that spans research, manufacturing, and commercial applications of low-altitude aircraft. The initiative focuses on urban aerial services, eVTOL aircraft, drone logistics, and a modern regulatory framework that supports growth and innovation.
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The term "low-altitude economy" originated in China and refers to the economic activities and industries centered around civil manned and unmanned aerial vehicles operating at low altitudes, typically below 1000 meters. This emerging sector encompasses various activities utilizing UAVs (Unmanned Aerial Vehicles), eVTOLs (electric Vertical Take-Off and Landing aircraft), and other low-altitude flying vehicles for various applications.