The year 2024 marked a significant turning point for Zhou Xiaoming, who unexpectedly found himself inundated with responsibilities and opportunitiesNestled in the mountains of Chengdu's Pengzhou district, Zhou manages a drone testing base that has transitioned from a few simple tents to an impressive complex featuring nine purpose-built buildings, each tailored to specific functionsThe previous five to six years had seen Zhou's facility operate without much fanfare, but suddenly in 2024, it became a bustling hub for drone test-flying enterprisesThe burgeoning interest in low-altitude economies made it a hotspot, with groups eager to explore the technology frequently causing traffic jams leading to the base.

As Zhou explained to a reporter, this newfound attention has had a ripple effect on the local economyNearby inns, restaurants, and businesses selling local specialties have experienced a boom

2024 has been dubbed the "Year of Low-Altitude Economy," catalyzed by groundbreaking events in the drone industryOne notable incident involved an eVTOL (Electric Vertical Takeoff and Landing) aircraft that made headlines for completing a flight from Shenzhen to Zhuhai in just twenty minutes, elevating global interest in the potential of low-altitude aerial transportation.

With the rise of eVTOLs and other low-altitude innovations, numerous businesses within this sector have rapidly developed, propelling policies that favor their growthNot long ago, the concept of using drones for agricultural purposes was met with skepticism, but like Zhou, others have embraced this technology and witnessed its effectiveness firsthand.

Take Gu Xiaocheng, for instance, who has entered the drone-assisted agricultural protection field for the fifth consecutive yearUpgrading from basic models to the latest DJI T100, Gu established an agricultural cooperative specializing in pest management and fertilization across a sprawling network of farms in Yancheng, Jiangsu province

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The financial benefits of drone technology are particularly striking: costs for manual pesticide application hover around 10 RMB per acre, while drone operations can lower that to just 4-5 RMB per acreInitially, many farmers doubted drones could achieve the precision of human labor, yet the results soon dispelled those concernsGu noted significant reductions in occupational health risks associated with fieldwork, particularly during scorching summer days, where exposure to the elements posed a severe threat to older laborers.

Although Gu's team is small, consisting of only five members, they manage an impressive volume of workEach year, they complete as many as 300,000 acres of agricultural tasks, earning substantial incomes in the processGu has even diversified, creating a lightweight cart for transporting drones, which he sells via online platformsTo date, he has sold over 2,000 such carts, further emphasizing the entrepreneurial spirit driving this sector.

Drones have begun to redefine not just agriculture but medical logistics as well

On December 13, 2024, a drone operated by a local blood bank in Mianyang efficiently transported thirty units of O-type blood to the city hospital in under five minutesLiu Jiawen, the R&D director involved in this initiative, revealed plans for expanding drone-assisted medical deliveries throughout the Mianyang area, enhancing the region’s healthcare response.

Statistically, drones have cemented their role as productivity toolsAccording to the Ministry of Agriculture and Rural Affairs, there are approximately 166,700 agricultural drones currently in operation across ChinaFurthermore, data from the Civil Aviation Administration shows that agricultural drones accounted for over 98% of the total flying hours logged on their cloud exchange systemUp until the end of August 2024, China recorded nearly 1.987 million drone registrations, with 220,000 pilot licenses issued, showing year-on-year growth of 56.8% and 13.9%, respectively.

The emergence of the low-altitude economy has led to a dramatic increase in demand for drone operators, with estimates suggesting a shortfall of around one million skilled workers in this field

The robust market potential has prompted the government to introduce favorable policies aimed at further developing low-altitude airspace management and general aviation advancements.

Excitingly, travel within the country stands to be revolutionizedAccording to Tu Qiang, Chief Product Officer at Wo Fei Chang Kong Technology Development Co., future eVTOL services will reduce travel time for popular tourist routes in Sichuan from several days to a mere day—an innovative leap forward for domestic tourism.

The year 2024 has been pivotal for many eVTOL companies, marking a transition from conceptual models to real-world applicationWith the construction of Wo Fei Chang Kong's new global headquarters commenced on December 12, the company aims for commercial operations by 2026. Their Chief Marketing Officer, Fei Lan, shared insights on significant advancements related to city infrastructure, communications, and regulatory adjustments that have paved the way for varied eVTOL designs and increased inter-company collaborations.

Industry predictions paint an optimistic picture: by 2030, around 12,000 flying cars could be operating as taxis, shuttles, and intercity transports, contributing to an estimated global market value of $55 billion, which will escalate to over $1 trillion by 2040. Such forecasts underline a burgeoning sector ripe for investment and innovation.

With market dynamics evolving, the low-altitude economy's scale is rapidly maturing

Projections from the China Economic Information Network estimated the market size to reach approximately 670.25 billion RMB in 2024, with manufacturing and operational services of low-altitude vehicles leading the market shareHowever, areas like infrastructure development still have room for significant enhancement.

The new Low-Altitude Bureau, established in late December 2024, offers hope for a more structured approach to enhancing this sectorThis bureau is tasked with drafting and implementing strategies for low-altitude economic growth, which includes developing broader policies and addressing major concerns within the industryFollowing its initiation, the bureau hosted discussions on infrastructure and smart connected systems, indicating a proactive stance toward addressing the challenges ahead.

Understanding the implications of this newly established authority, experts underscore its importance

From a supply chain perspective, the low-altitude economy encompasses multiple domains, including research, manufacturing, air traffic control, and operational safetyEnhanced coordination via the Low-Altitude Bureau should streamline efforts and bolster overall system development.

The establishment of leadership groups across various government sectors showcases a concerted effort to nurture the low-altitude economyAs of July 2024, the Civil Aviation Administration launched a task force dedicated to promoting its growth, with cities like Hefei, Hangzhou, Shenzhen, Suzhou, Chengdu, and Chongqing identified as pioneering eVTOL test sites.

However, challenges remain, particularly concerning urban infrastructureGao Yuanyang, Director of General Aviation Industry Research at Beihang University, emphasized the need for more general airports in urban areas, as currently, only 449 such facilities exist nationwide

To fulfill low-altitude traffic demands, development of urban vertiports and additional airports must be prioritized.

As regulations and management strategies evolve to accommodate low-altitude flight needs, the goal will be to implement comprehensive safety measures without compromising existing military or civilian aviation operationsThe path toward enhancing low-altitude aviation is neither immediate nor straightforward, but the infrastructures and frameworks being put in place offer a promising future.

The emergence of a new "drone 4S store" in Chengdu signifies an advancing consumer landscape for low-altitude technology on December 26, 2024. This center offers a range of services from sales to repairs for drones and serves as a trial space for potential buyers, reflecting the increasing consumer interest in these innovations.

Zhou Xiaoming, managing the drone test base, recognizes the changing dynamics of this industry

In just a year, testing at his facility has surged, attracting numerous visiting delegationsLocal tourism, traditionally limited to peak seasons, has blossomed thanks to the influx of research and inquiry into drone capabilities, leading to full bookings at nearby lodgings.

Similarly, Chen Wei from Nanjing has noted a marked increase in demand for drone countermeasures amid growing concerns about unauthorized drone flights affecting airport and sensitive facilities operationsHis company saw a 50% rise in orders within 2024—a clear indicator of low-altitude economy dynamics unfolding robustly.

As with the automotive sector giving rise to support services, Zhou envisions a similar trajectory for the burgeoning low-altitude economyHe foresees growth in fields such as drone testing and air traffic management, presenting significant market opportunities awaiting exploration.

Yet, both industry veterans and new entrants acknowledge that maturation of the low-altitude economy will be a gradual journey