(Yicai Global) July 25 -- China’s production of unmanned aerial vehicles is expected to exceed CNY100 billion (USD14.8 billion) this year, according to the executive chairman of the Drone World Congress.

The country’s drone industry has continued to expand rapidly this year, despite the impact of Covid-19, Yang Jincai said at the Drone World Congress 2022 held in Shenzhen from July 23 to today.

As the world’s most important industrial base for civil UAVs, China had more than 12,000 drone companies last year whose total output topped CNY87 billion (USD12.9 billion). Shenzhen has more than 1,500 firms with civil drone business licenses. Consumer UAVs made in the city account for 70 percent of the global market, while its industrial drones account for half.

The Chinese drone market is likely to reach CNY160 billion by 2024, according to a DWC press release. CNY36 billion will come from their use in agriculture, forestry, and plant protection; CNY45 billion from surveying and mapping; CNY30 billion from logistics; CNY23 billion from security; and CNY26 billion from power infrastructure inspection.

As logistics is the main application scenario, support needs to focus on leading logistics drone makers and freeing up low-altitude airspace, Li Jian, former deputy director of the Civil Aviation Administration of China, told the DWC. Two of the 13 drone test areas in China are for logistics, and three are for urban deliveries.

JD.Com, SF Holding, Meituan, Zhongtong Logistics, Cainiao Network Technology, and China Post Group have all invested heavily in the sector and stepped up research and development of large drones in order to build an aerial logistics network.

Urban air mobility, electric vertical take-off and landing, and flying cars have become one of the most popular areas of innovation and investment, with many firms having secured considerable funding. Carmakers Geely Automobile Holdings, FAW Group, Great Wall Motors, and Xpeng Motors, as well as tech firms such as Ehang Holdings, Autoflight, and Wellhug Technology, have flying car projects.

Editor: Futura Costaglione