Shanghai's low-altitude economy is gaining momentum

Last month, a B-70AP helicopter took off from Shanghai Long Hua Airport and transported two couples to Flower & Bird Island in Zhoushan, Zhejiang in just 40 minutes, marking the start of their Qixi Festival trip. Previously, this journey might have required a combination of car, boat, and high-speed train.

the inaugural helicopter flight from Shanghai to Flower & Bird

On the morning of Aug 10, the inaugural helicopter flight from Shanghai to Flower & Bird Island successfully took place. Images are from Zhejiang Daily.

Later in August, China’s first interprovincial scheduled low-altitude passenger transport route was officially launched. Operated by Shanghai New Sky Helicopter, the "air taxi" service now shuttles passengers from Kunshan in Jiangsu to Pudong Airport in Shanghai. The route is approximately 85 kilometers long, with a flight time of about 25 minutes. Including ground transfer time, the total journey takes around 50 minutes, significantly reducing the previous 2-3 hour travel time. However, the main drawback is the cost. A one-way ticket priced at an average of ¥1,700 ($238) per passenger, it remains too expensive for the general public, but for more affluent consumers the time saving and brag factor is well worth it.

The video shows the aircraft launch test site for the route. Video from bilibili.

Shanghai introduced new supportive policies for the low-altitude economy in July. In the same month, the Shanghai municipal government announced the High-Quality Development Action Plan for the Low-Altitude Economy Industry (2024-2027). This plan aims to establish a comprehensive industry system by 2027 that integrates research and development, design, manufacturing, and commercial applications, with a core industry scale exceeding ¥50 billion ($7 billion). This policy is based on a solid foundation of skilled professionals and a large-scale corporate presence. Shanghai, for instance, has 70% of the country’s civil aviation industry talent, hosts about 50% of the leading eVTOL innovation companies, and has been approved as one of the first national pilot zones for civil unmanned aerial vehicle testing.

The policy document and drone base

The policy document on Shanghai's low-altitude economy and a promotional video of the East China Drone Base. Images are from the Shanghai municipal government and worldyurui.com

In terms of leading innovative companies, Shanghai showcases several notable examples. For instance, Meituan's drone delivery service in Yangpu District, the drone-based fresh seafood cold chain transportation in Jinshan District, and the eVTOL technology developed by Shanghai TCab Tech. This will offer a one-way fare of ¥300 ($42), promising a flight time of about 20 minutes from the Shanghai Hongqiao International Airport to the Suzhou Oriental Gate, and expected to officially launch in the second half of 2026. The city’s firms all represent the most advanced technologies in China’s low-altitude economy. These developments are also clear signs of the low-altitude economy taking root and flourishing in Shanghai.

eVTOL of TCab Tech

Shanghai TCab Tech's Ace Product E20 eVTOL. Images are from official website of TCab Tech.

For all major international cities, the low-altitude economy is becoming an inevitable trend due to increasing ground traffic congestion and the growing demand for timely travel. In the past, Uber’s BLADE service offered a helicopter ride from New York's JFK Airport to Manhattan in just 10 minutes. With ongoing advancements in technology and improvements in regulations, it’s quite possible that in the near future, a flight from Shanghai’s Pudong International Airport to the Oriental Pearl Tower could also take just a few tens of minutes. For brands, there could be opportunities from novel marketing campaigns, prize draws, delivery and many other ways to tap the sky.

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