China Moves to Bolster Low-Altitude Economy with New Legislation

Chinese lawmakers are currently working on legislation designed to accelerate the growth of the country's low-altitude economy. This emerging sector encompasses various industries, including drone delivery and aerial sightseeing, all operating below 1,000 meters.

A draft revision to the Civil Aviation Law, which has been in place for 30 years, now includes provisions specifically aimed at supporting the low-altitude economy. Experts believe this effectively grants the sector legal recognition as a crucial part of China's strategic emerging industries. The year 2024 is widely considered the starting point for this sector's rapid expansion, with projections estimating a market size of 1.5 trillion yuan by 2025.

To sustain this growth, there is a recognized need to improve laws and regulations. This will provide a stable policy environment, allowing the low-altitude economy to become a new driver of economic growth. The latest version of the draft has recently undergone its second review by the national legislature.

Despite its rapid rise, the low-altitude economy faces challenges. These include underdeveloped regulations and standards, technological limitations, and lagging infrastructure development. The new draft addresses these issues by outlining measures to optimize the allocation of low-altitude airspace resources and promote the development of service and regulatory platforms for civil low-altitude flights. These measures aim to improve airspace planning, shorten approval times for flight missions, and enhance safety and efficiency.

The draft revision also offers positive prospects for companies in the sector. Industry insiders believe it will unlock greater market potential. The push for enhancing civil aviation manufacturing and infrastructure is expected to boost research and development within the unmanned aerial vehicle sector, laying a solid foundation for the low-altitude economy. Companies are planning to expand their operations and scale up their presence in the low-altitude operation market.

The draft also emphasizes the establishment and improvement of systems and standards for airworthiness certification and flight management to meet the development needs of the low-altitude economy. Experts are also calling for a stronger legal framework to support the sector's growth. They emphasize the need for prompt formulation and improvement of relevant laws, regulations, and rules to provide a solid legal foundation for the lawful, rapid, and orderly development of the low-altitude economy.