ZTE Corporation (00763.HK) saw its stock soar 5% in Monday's trading session, riding on the wave of positive news surrounding the low-altitude economy sector. The surge comes as the Guangdong Provincial Government issued new measures to support the high-quality development of the low-altitude economy, potentially benefiting companies like ZTE that are actively involved in this emerging field.

The new policy measures, which include sixteen specific actions, focus on accelerating core technology development, speeding up industrial innovation platforms, and enhancing financial support for the low-altitude economy. This government backing is expected to create significant opportunities for companies operating in this space, with the market size projected to reach 1.5 trillion yuan by 2025 and possibly 3.5 trillion yuan by 2035, according to forecasts from the Civil Aviation Administration of China.

ZTE, known for its commitment to advancing integrated sensing and intelligent computing technology, stands to benefit from these developments. The company has recently completed the deployment of a 5G-A sensing system pilot project by Xingshan Lake, in collaboration with industry partners. This project, which includes presenting low-altitude sensing detection data on a low-altitude flight service platform in Chengdu, demonstrates ZTE's active involvement in pushing forward business progress in the low-altitude economy sector. As the industry continues to evolve with strong government support, investors appear optimistic about ZTE's potential to capitalize on these emerging opportunities.