(09.07.2025, SINGAPORE)Under the dual push of the central and local governments, low-altitude economies across China are rapidly moving from policy planning to real-world industrial implementation, becoming key drivers for local industrial transformations and upgrading, reported 36Kr, a technology and business media platform in China.

On Tuesday, China’s National Business Daily, 36 Kr’s Urban Evolution section, and AI application company Firestone Creation together released their “Urban Low-Altitude Economies Connectivity Index (2025)”,  according to which Beijing and Shenzhen scored 95.58 and 86.12 points respectively, making them leaders among Chinese cities with low-altitude economy.

The above photo shows exhibits related to low-altitude economy at Airshow China in Zhuhai, south China’s Guangdong Province (Photo: Internet)

“Low-altitude economy” refers to the total economic activity generated by various types of aviation operations conducted within low-altitude airspace, typically defined as below 1,000 meters above sea level, as well as the industries it drives. It encompasses transportation of people, goods, and equipment by aerial vehicles such as manned and unmanned aircraft, helicopters, and light fixed-wing aircraft, and scenarios including emergency response and sightseeing.

Since China’s National Development and Reform Commission (NDRC), the country’s macroeconomic management agency, set up the department of low-altitude economy at the end of last year, and with the recent formation of a leading group for aviation and low-altitude economy by the Civil Aviation Administration of China (CAAC), institutional barriers to the development of China’s low-altitude economy are gradually being cleared, reported 36 Kr.

China is actively reforming low-altitude airspace management to “delegate authority and loosen restrictions” in support of low-altitude economy. In 2024, several provinces and cities such as Guangdong, Hunan, and Sichuan were designated as pilot regions for low-altitude airspace management reform. National policy emphasizes building an integrated system of “general aviation plus unmanned systems plus low-altitude services.”

According to forecasts by CAAC and others, the market size of China’s low-altitude economy could reach the trillion-yuan level by 2030. It is regarded as a strategic emerging industry, following new energy vehicles and artificial intelligence, with great importance for transportation transformation and promotion of new productive forces (新质生产力).

Besides the trillion-yuan (about S$178.3 billion) GDP cities of Suzhou and Shenzhen, the top ten on the Connectivity Index list comprise 6 provincial capitals and the municipalities of Beijing and Shanghai.

The index defines a low-altitude economy as containing four major segments, namely low-altitude infrastructure, low-altitude manufacturing. low-altitude operations and services, and low-altitude flight safety assurance

In addition, a term “low-altitude economy enterprise” is applied in the grading. This refers to businesses whose main operations are involved in one or more of these segments. In the past year, 2,427 new low-altitude economy companies were established across China, almost equal to the total of the previous three years combined, indicating the sector is entering a new phase of large-scale growth.

 According to statistics, 30 Chinese provinces have included development of low-altitude economy in their 2025 government work reports, and more than 250 cities have proposed plans for its development.

Continuing last year’s trend, Beijing, Shenzhen, and Shanghai have further solidified their leadership positions. Their scores of 95.58, 86.12, and 79.15 points respectively put them significantly ahead of other cities, showing a trend where the strong continue to get stronger.

In terms of industrial scale, however, Shenzhen is the undisputed leader surpassing Shanghai. As of 2024, Shenzhen’s low-altitude economy had exceeded 100 billion yuan (S$17.84 billion) in value, with over 700,000 drone flights annually, ranking first nationwide. According to planning documents, Beijing and Shanghai are targeting 100 billion yuan and 50 billion yuan respectively by 2027, prioritizing innovation and services.

Data also shows that Shenzhen and Beijing each has 788 and 782 low-altitude economy enterprises respectively, topping the nation. Chengdu, Shanghai, Xi’an, Guangzhou, and Nanjing also each has more than 300 such enterprises, indicating strong competitiveness.

Zhu Keli, president of the China (Chengdu) Institute for Low-Altitude Economy and the Bay Area Institute for Low-Altitude Economy, believes the sector is currently at a key stage of scaling and standardizing. Beijing ranks first in the sector in terms of enterprise clustering, innovation, and capital activity, whereas Shenzhen leads the nation in environmental friendliness. Shanghai shows overall balanced performance.

Following behind the top three are Guangzhou, Chengdu, Nanjing, Suzhou, Hangzhou, and Xi’an— also trillion-yuan GDP cities that are rapidly catching up. These cities form a strong second tier and all demonstrate considerable development potential.

The low-altitude economy sector is a golden opportunity for smaller cities to stand out. In addition to Suzhou, 13 other prefecture-level cities made it into the top 50, including Zhuhai, Shaoxing, Wuhu, Jiaxing, Huizhou, Anyang, Zhongshan, Zhuzhou, Huzhou, Xuzhou, Mianyang, Taizhou, and Ganzhou. 

As core cities strengthen their leadership, cross-regional coordination is becoming a new trend in low-altitude economic development. Shanghai has proposed to jointly build the country’s first inter-regional low-altitude aviation cluster with other Yangtze River Delta cities.

Beijing meanwhile is planning for coordinated low-altitude economic development in the Beijing-Tianjin-Hebei region. The joint effort between Sichuan and Chongqing to build a “Chengdu-Chongqing Twin City Low-Altitude Economy Corridor” further indicates that collaborative strategy is increasingly common.

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