257 Cities Chase the Low-Altitude Economy: A Critical Look at the Nationwide Rush

Deep News
Aug 21

A recent study has cast a spotlight on a striking trend in urban planning across China. The research indicates that out of 291 publicly available development outlines for cities at the prefecture level and above, a staggering 257 have incorporated the low-altitude economy and general aviation into their strategic plans for emerging industries. This represents a dramatic surge from just 23 cities in the previous five-year planning cycle, marking a more than tenfold increase in a single half-decade.

The low-altitude economy has now been mentioned in the national government work report for three consecutive years, and by 2026 it has been officially positioned as a new pillar industry. This aligns with the central government's policy direction, yet the sheer scale of the response is still remarkable. With 257 out of 297 prefecture-level and above cities—roughly 86.5%—declaring ambitions in this sector, one must question whether it is truly necessary or feasible for such a vast number of urban centers to develop the low-altitude economy simultaneously.

Delving deeper into the study's findings, despite the widespread enthusiasm, the reality of current industrial foundations tells a different story. When examining the leading or pillar industries that actually contribute to output and employment today, the top five are dominated by traditional sectors: food and agricultural product processing (149 cities), modern agriculture (145 cities), high-end equipment manufacturing (126 cities), cultural tourism (118 cities), and modern logistics (101 cities). This suggests a significant mismatch between the resource endowments and existing industrial bases of most cities and the demanding prerequisites for a successful low-altitude economy, indicating that many of these plans are more aspirational than practical.

The study also reveals a fascinating insight into how cities are managing their industrial transitions. By comparing the planning outlines from 285 cities across two consecutive five-year cycles, researchers found that, on average, each city has dropped approximately 8 sectors from its previous industrial menu while simultaneously adding about 8 new ones. This means that in just five years, nearly half of a city's planned industrial focus is subject to change. Notably, a considerable number of sectors that were once classified as strategic emerging industries in earlier plans have failed to appear in the latest round of planning documents, providing a stark illustration of how quickly urban governments can shift their policy priorities.

However, this rapid rotation of industrial targets may not always reflect genuine needs for industrial transformation. The research points out that a sector exiting or entering a planning document does not necessarily mean a city has achieved an actual industrial switch. This pattern is likely driven by a specific behavioral logic among local governments. When the central government designates a field as strategically important, and when capital markets and media amplify optimistic signals, local officials face immense pressure: failing to follow suit could leave them at a disadvantage in the next round of resource competition and performance assessments, while following through, at the very least, ensures they appear aligned on paper. This decision-making logic, however, lacks rationality and carries substantial risks.

The development of a low-altitude economy demands highly specific conditions, including favorable airspace, a robust aviation manufacturing base, a deep pool of professional talent, and comprehensive supporting infrastructure. When nearly 90% of prefecture-level cities simultaneously pursue this path, it implies that a massive amount of fiscal funding, land resources, and policy incentives will be concentrated in this area over the next five years. If the industry's growth fails to meet expectations, these investments face the risk of becoming sunk costs, and cities will also incur significant opportunity costs by potentially missing out on other industrial development opportunities. History is replete with similar cautionary tales.

This critique is not meant to question the validity of all urban plans for the low-altitude economy; undoubtedly, some cities have well-conceived and feasible strategies. Instead, it serves as a reminder that industrial planning should not be a simple permutation of popular buzzwords. It must be a scientific decision grounded in a city's actual resource endowments, industrial heritage, and market competition trends. While the low-altitude economy presents a vast imaginary space, the most suitable approach is what ultimately works best for each city. No city should blindly follow the crowd; instead, they must carefully assess their own assets and thoroughly analyze the situation before selecting a future development direction that truly matches their unique profile.

This principle extends far beyond industrial planning. From urban construction to public services, from cultural tourism development to investment attraction, and even to any governance decision, the core values should always be scientific rigor, pragmatism, and prudence. The essence of wise governance lies not in chasing every fleeting trend, but in maintaining steady and sustainable progress. It requires staying calm amidst the noise and holding firm boundaries in the face of temptation. To achieve this, the only guiding principle needed is a commitment to seeking truth from facts.

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