Beijing, Shanghai, Guangzhou and Shenzhen are vying to become the top city in the low-altitude economy.
In the field of advanced manufacturing, a city often becomes representative of an industry. For example, in 2025, Dongguan produced about one-fifth of the world's smartphones, and Chongqing produced about one-third of the world's personal computers.
With the strong rise of new energy vehicles, Shanghai, Xi'an, and Shenzhen have taken turns to be the "Number One City for New Energy Vehicles" in terms of annual production.
In the past two years, the competition for the "Number One City" has shifted to the more intense low-altitude economy and humanoid robots.
However, compared with the frequent popularity of humanoid robots, the low-altitude economy has a relatively low level of public awareness. Nevertheless, the most powerful megacities in China, such as Beijing, Shanghai, Guangzhou, and Shenzhen, as well as new first-tier cities like Chengdu, Nanjing, and Suzhou, have started to stake their claims in the low-altitude economy.
Of course, the low-altitude economy is an emerging industry and is currently in its infancy, far from reaching the maturity stage of the smartphone and personal computer industries. Therefore, rather than competing for the "Number One City," major cities are trying to get closer to that status.
A Trillion-Dollar Market: Regions Compete for Industrial High Ground
"Low-altitude economy" is a somewhat professional-sounding term. Unlike "humanoid robots," it's not easy to understand the corresponding products just by hearing the term. Many people equate the low-altitude economy with drones, but in fact, the scope of the low-altitude economy is much broader.
For example, China International Capital Corporation (CICC) stated in a research report that the low-altitude economy relies on low-altitude airspace (the flight area within 1,000 meters above the ground, which can be extended to within 3,000 meters above the ground as needed) and is driven by low-altitude flight activities such as manned and unmanned aircraft. It is an emerging field involving many industries such as low-altitude flight and aviation tourism, and its commercial applications will mainly focus on "cargo - passenger transportation" and "tourism - transportation." In addition, aircraft and air traffic control systems are the foundation for the development of the low-altitude economy.
It can be seen that the low-altitude economy is a comprehensive economic form driven by various low-altitude flight activities, promoting the integrated development of related fields. It is a trillion-dollar market with broad prospects.
According to the calculation of the CCID Research Institute of the Ministry of Industry and Information Technology, the market scale of China's low-altitude economy was about 506 billion yuan in 2023. It is expected to reach one trillion yuan by 2026, with an average annual growth rate of about 30% from 2021 to 2026. According to the prediction of the Civil Aviation Administration of China, the market scale of China's low-altitude economy will reach 1.5 trillion yuan in 2025 and is expected to reach 3.5 trillion yuan by 2035.
Like the new energy vehicle industry, policies were planned in advance before the consumer market boomed.
In February 2021, the "National Comprehensive Three - Dimensional Transportation Network Planning Outline" was issued, and the concept of the "low - altitude economy" was written into the national plan for the first time. In December 2023, the Central Economic Work Conference included the "low - altitude economy" in the category of strategic emerging industries. In 2024, the "low - altitude economy" was written into the government work report for the first time. In March 2024, four departments including the Ministry of Industry and Information Technology issued the "Implementation Plan for the Innovation and Application of General Aviation Equipment (2024 - 2030)," proposing that "by 2030, general aviation equipment will be fully integrated into all areas of people's production and life."
Driven by national policies, local governments have issued policies to accelerate the layout of the low - altitude economy. According to incomplete statistics, as of November 2024, more than 100 cities across the country, including Beijing, Shanghai, Guangzhou, and Shenzhen, have issued policy documents related to the low - altitude economy.
Taking Shenzhen and Beijing as examples, Shenzhen issued the "Regulations on Promoting the Low - Altitude Economy Industry in Shenzhen Special Economic Zone" in December 2023, which is the first national regulation for promoting the low - altitude economy industry. At the same time, Shenzhen also issued the "Several Measures to Support the High - Quality Development of the Low - Altitude Economy in Shenzhen," proposing that by 2025, the scale of the city's low - altitude economy industry will exceed 30 billion yuan, more than five leading low - altitude economy enterprises with international competitiveness will be cultivated, and more than three characteristic industrial parks for the low - altitude economy will be built.
Beijing issued the "Action Plan for Promoting the High - Quality Development of the Low - Altitude Economy Industry in Beijing (2024 - 2027)" in August 2024, aiming to achieve a breakthrough of more than 5,000 low - altitude economy - related enterprises in three years, form a national leading demonstration in areas such as technological innovation, standard policies, low - altitude safety, and application needs, and reach an industrial scale of 100 billion yuan.
Of course, the effectiveness of these policies remains to be seen in practice. In May this year, Zhang Xiaonan, the senior corporate strategy director and spokesperson of DJI Innovation Technology Co., Ltd. (hereinafter referred to as "DJI"), told the media that the low - altitude economy is in its infancy, and attention still needs to be paid to its implementation in various fields, relevant policy guarantees, and sustainable applications.
Generally speaking, the low - altitude economy is in a stage of rapid development, and policy incentives can better promote industrial development. At the same time, the low - altitude economy involves multiple fields such as aircraft R & D and manufacturing, market operation, and comprehensive support. It has a long industrial chain and a strong driving effect, which can inject more vitality into local economic growth. Therefore, the competition among regions is quite fierce.
The Greater Bay Area Leads, and Major Cities Follow
In this competition, first - tier cities such as Beijing, Shanghai, Guangzhou, and Shenzhen naturally become the focus.
The "Report on the China Low - Altitude Economy Development Index (2025)," jointly compiled by the Institute of Geographic Sciences and Natural Resources Research of the Chinese Academy of Sciences and many well - known domestic universities, systematically evaluated the low - altitude economy development levels of 58 cities across the country from four dimensions: technological innovation vitality, market development potential, ecological synergy ability, and policy empowerment effectiveness. The results show that Shenzhen ranked first with a comprehensive score of 90.0 points, becoming the "super model" for the low - altitude economy in China, and Beijing ranked fourth in the national low - altitude economy development index.
XPeng HT Aero's "Land Aircraft Carrier" Flying Car
Specifically, as the national political, cultural, and technological innovation center, Beijing has unique advantages in the low - altitude economy. It not only brings together many top - notch aerospace research institutions and universities, such as Beihang University and China Aerospace Science and Technology Corporation, but also has rich policy resources, which can quickly promote the implementation of relevant policies.
However, due to its responsibility as the capital, Beijing's airspace resources are relatively tight, which limits the large - scale application of the low - altitude economy to a certain extent. For example, when carrying out low - altitude logistics and distribution services, more detailed airspace planning is required to ensure flight safety and efficiency.
As an international metropolis, Shanghai is strong in finance, trade, and technology services. It has a complete industrial chain and rich human resources, which can attract global low - altitude economy enterprises and innovation projects. It also has advanced urban management experience, which is conducive to promoting the application of the low - altitude economy in smart city construction.
The Guangdong - Hong Kong - Macao Greater Bay Area, where Guangzhou and Shenzhen are located, is one of the most active regions for the development of the low - altitude economy in China. The Greater Bay Area has a strong manufacturing foundation and leads the world in the R & D and manufacturing of new energy vehicles and smartphones. These existing industrial advantages can also provide strong support for the development of the low - altitude economy.
For example, DJI in Shenzhen has an absolute leading position in the global consumer - grade drone market, and its products are widely used in many fields such as aerial photography, surveying and mapping, and agriculture. Guangzhou has the world's largest agricultural drone manufacturer, XAG, the star startup XPeng HT Aero, and EHang, the world's only enterprise with three complete certificates (TC/PC/AC) for e VTOL (Electric Vertical Take - Off and Landing Aircraft).
Benefiting from the strong positions of Shenzhen and Guangzhou, Guangdong also ranks among the top in the domestic low - altitude economy industry.
Among the new first - tier cities, there are also many heavyweight players besides Beijing, Shanghai, Guangzhou, and Shenzhen.
Luo Jun, the executive director of the China Low - Altitude Economy Alliance and the co - director of the National Low - Altitude Traffic Network Research Center of Civil Aviation Flight University of China, said that Xi'an has strong strength in fields such as aviation, aerospace, radar, surveillance, avionics, flight control, materials, and talent. Chengdu is in the leading position in the industrial - grade drone industry, with a number of enterprises such as AVIC, Zongheng, Tengdun, and Aoshi emerging, and has initially formed an industrial cluster effect for industrial drones.
Generally speaking, low - altitude economy enterprises in different regions show different development trends. Enterprises in Beijing are mainly research - and - innovation - oriented, focusing on technology R & D and standard setting. Enterprises in Shanghai focus more on the development of application scenarios and business model innovation. Enterprises in Guangzhou and Shenzhen stand out in product manufacturing and market expansion due to their strong manufacturing foundation.
Regions Take Measures to Solve Common Problems
Although the development momentum in various regions is strong, the low - altitude economy industry still faces a series of common problems.
In terms of airspace management, the existing airspace resources are tight and the allocation is not flexible enough to meet the growing demand for low - altitude flights. Taking Beijing as an example, as an important political center and transportation hub, its airspace is busy, and the approval process for low - altitude flights is complex, which poses challenges to the large - scale commercial application of the low - altitude economy.
Security is also a major problem. Low - altitude flights involve many aircraft, including manned and unmanned aircraft. How to ensure their safe flight in a complex urban environment is an urgent problem to be solved.
In addition, the lack of unified technical standards also restricts the development of the industry. There are differences in technical interfaces, communication protocols, etc. among products and services of different enterprises, which affects the collaborative innovation and large - scale development of the industry.
Of course, in response to these problems, local governments are actively exploring solutions based on their policy and industrial advantages. Relying on its strong scientific research strength and policy resources, Beijing is accelerating the R & D of low - altitude intelligent control and safety guarantee technologies. For example, Beijing established the Low - Altitude Economy Industry Development Alliance, focusing on low - altitude air traffic control, aircraft development, and operation services, and built a key laboratory for low - altitude airspace intelligent control and safety guarantee technologies, aiming to solve the technical problems of low - altitude safety.
Shanghai gives full play to its advantages as an international metropolis, using its complete industrial chain and international operation to attract many global low - altitude economy enterprises and innovation projects. For example, by hosting international low - altitude economy forums and other activities, Shanghai has built an international exchange and cooperation platform to promote cooperation among domestic and foreign enterprises in technology, standards, and markets, and promote the unification of industry standards.
The Guangdong - Hong Kong - Macao Greater Bay Area, represented by Guangzhou and Shenzhen, is seeking breakthroughs in product manufacturing and application scenario expansion based on its strong manufacturing foundation and flexible policy advantages.
EHang's Fire - Fighting Drone
Other regions also give full play to their strengths. Chengdu is innovating in low - altitude tourism and drone logistics and distribution by using its rich tourism resources and aviation industry foundation. Hangzhou, relying on its Internet industry advantages, is building a low - altitude data service platform in the construction of the low - altitude intelligent network to achieve real - time monitoring and management of low - altitude flights, improve safety guarantee levels, and provide a practical platform for unified technical standards.
It can be seen that when solving the common problems faced by the low - altitude economy industry, all regions try to give full play to their policy and industrial advantages and explore solutions suitable for local development from multiple perspectives such as technological innovation, policy reform, industrial synergy, and application expansion.
After all, the low - altitude economy is a trillion - dollar "big cake," and it's difficult for any single region to swallow it all. Therefore, giving full play to their respective advantages and focusing on differentiated competition are more in line with the laws of market development.
Generally speaking, who will become the "Number One City for the Low - Altitude Economy" is more like a goal. It depends not only on local policy support, industrial foundation, and technological innovation ability but also on supporting measures in airspace management, safety guarantee, etc.
In the future, with the continuous development of the low - altitude economy, the competition among regions will become more intense. There may not be a single winner in the end of the low - altitude economy, but the ultimate winners must be those cities that can give full play to their advantages and solve various problems faced by the industry's development.
This article is from the WeChat official account "PConline Pacific Technology" and is published by 36Kr with permission.