2025-07-02 15:49Summary of Low Altitude Economy Conference Call Industry Overview - The low altitude economy market is active, particularly in the Jiangsu, Zhejiang, Shanghai, and Anhui regions, with a total bidding amount for infrastructure reaching 4.767 billion yuan by June 2025 [1][4] - The development of airworthy aircraft and regular application scenarios is crucial for the growth of the low altitude economy [1][4] Key Insights - Market Discrepancy: There is a disconnect between the primary and secondary markets, with many related companies' stock prices currently low. However, future policy implementations and expanded application scenarios are expected to boost these prices significantly [3] - Drone Efficiency: Drones are more efficient than human delivery, with costs ranging from 3.8 to 4.9 yuan per kilometer per hour, which is lower than the cost of delivery personnel [1][6] - Regulatory Landscape: In China, drones under 25 kg can fly in populated areas without airworthiness certification, while those between 25-150 kg require such certification [5] Company Recommendations - Companies to watch in the low altitude logistics sector include: - Jifeng Technology - Green Energy Hui Charge - Zhongheng Co. - Aerospace Electronics - SF Express - These companies have established technological capabilities and market positions in low altitude logistics [1][7] Development Prospects - End Delivery: Drones show significant advantages in end delivery, with one operator able to control multiple drones, reducing costs further [6][16] - Branch Logistics: Drones are particularly advantageous in branch logistics, especially in complex terrains, where traditional methods are less efficient [2][19] Infrastructure and Investment - The construction of low altitude economic service platforms is primarily contracted to major telecom operators like China Telecom, Unicom, and Mobile, due to the need for communication through their base stations [11] - Local governments are investing in drone applications for public services, such as traffic monitoring and emergency response [12][10] Challenges and Considerations - Safety Regulations: Local governments lack the capacity to independently establish drone management rules, necessitating a unified national framework to ensure safety and clarity in responsibility [15] - Economic Viability: While drones are not yet economically viable for trunk logistics, they hold promise for branch and end delivery logistics due to their cost and time efficiency [21] Conclusion - The low altitude economy, particularly in logistics, is poised for growth with significant investment and technological advancements. Companies with established capabilities in drone technology are well-positioned to capitalize on this emerging market.