(Yicai) Dec. 28 -- Shenzhen in China's southern Guangdong province recently issued new regulations to promote the high-quality development of the city's low-altitude economy.

Companies starting new low-altitude logistics and delivery routes in Shenzhen will be awarded up to CNY20 million (USD2.8 million) every year, the city government's information office said on WeChat yesterday. 

Under the new rules, those that are newly settled in Shenzhen, have paid-up capital of over CNY20 million, and research, develop, and make electric vertical takeoff and landing aircraft and large and mid-sized unmanned aerial vehicles or focus on core parts and components or commercial operations, will be given ‘settlement rewards.’

The reward equals 5 percent of a qualifying firm’s paid-up capital in its second year, with the cap set at CNY20 million.

Major industrial investment projects or those by local listed companies with more than CNY500 million (USD70.3 million) of investment from low-altitude economy firms will be granted up to CNY50 million with an upper limit of 20 percent of the projects' total fixed-asset investment, according to the rules. 

Companies in the low-altitude economy that have been issued airworthiness certificates and production licenses for eVTOLs and UAVs by the Civil Aviation Administration and are operating in the city will also receive funds, including CNY15 million for eVTOLs, CNY5 million for large-sized UAVs, and CNY3 million for mid-sized UAVs, with an annual cap of up to CNY30 million per firm.

The new rules also aim to encourage firms, universities, and other institutions to set up innovative research centers for the low-altitude economy in Shenzhen. Qualified major civil aviation laboratories will be awarded a maximum of CNY10 million, up to 30 percent of a projects' investment. 

Under the rules, loans, bonds, financing guarantees, industrial funds, and many other tools will be used to support the growth of the city’s low-altitude economy.

Editor: Martin Kadiev