Liu Fang, National Committee member of the Chinese People’s Political Consultative Conference about Sustainable Fuels
During the 2026 Two Sessions, Liu Fang highlighted these two areas as important drivers for the future development of civil aviation: the low-altitude economy and sustainable aviation fuel (SAF). Both areas represent a shift beyond traditional aviation expansion toward new ecosystems built around advanced aircraft, digital infrastructure, energy transition and supporting services.
Liu’s comments reflect a broader industry transition. China’s aviation growth is increasingly moving from capacity expansion toward ecosystem development, where infrastructure, regulation, technology integration and supply chain capabilities will determine commercial scalability.
Liu Fang, National Committee member of the Chinese People’s Political Consultative Conference, former Secretary General of the International Civil Aviation Organization (ICAO), and former senior official of the Civil Aviation Administration of China (CAAC), brings experience from both China’s aviation administration and international aviation governance.
Executive Summary
China’s low-altitude economy is moving from policy support toward commercialization, creating demand for aviation infrastructure, digital systems and operational services.
The next stage of low-altitude aviation development will depend on airspace management, safety systems and regulatory coordination rather than aircraft technology alone.
Sustainable aviation fuel is becoming a strategic industrial opportunity linked to aviation decarbonization, energy security and advanced manufacturing.
Companies seeking opportunities in China’s aviation market will need to participate in emerging ecosystems rather than compete only through individual technologies.
Low-Altitude Economy: Building the Infrastructure Behind Commercial Growth
Liu Fang identified the low-altitude economy as a key area for cultivating new growth drivers in civil aviation. Her assessment reflects a shift in policy focus: the sector is moving beyond demonstrations and pilot projects toward the creation of a scalable operating environment.
China has already seen rapid growth in drone and general aviation activity. In 2025, traditional general aviation operations exceeded 1.2 million flight hours, while registered drones surpassed 3.28 million units. Applications such as drone delivery, urban helicopter transport and eVTOL demonstrations indicate that low-altitude aviation is gradually moving into practical use cases.
However, Liu emphasized that commercialization requires more than aircraft availability. She highlighted the need for improved low-altitude airspace access, intelligent flight management platforms and clearer regulatory responsibilities.
From Aircraft Innovation to Aviation Infrastructure
A central message from Liu Fang’s comments is that infrastructure will determine whether low-altitude aviation can scale.
She proposed strengthening low-altitude flight service platforms and intelligent networking systems to enable aircraft to be monitored, coordinated and safely operated. This indicates that China’s future low-altitude market will require a new digital layer similar to the infrastructure supporting modern transportation networks.
Simultaneously, regulatory coordination remains a key challenge. As operations expand across cities and regions, authorities will need clearer mechanisms for airspace management, safety oversight and emergency response.
Sustainable Aviation Fuel: A New Industrial Opportunity
Beyond low-altitude aviation, Liu Fang highlighted sustainable aviation fuel as another strategic priority for China’s civil aviation transformation.
SAF is becoming an important pathway for reducing aviation emissions because it can support carbonization without requiring a complete replacement of existing aircraft fleets. China has already begun pilot applications, with certified producers entering the market and SAF being used in selected airport operations.
Liu emphasized that SAF development has broader industrial significance. In her view, it can support the development of a domestic green fuel supply chain while creating opportunities across renewable energy, hydrogen, advanced materials and high-end equipment sectors.
Business Implications: Ecosystem Participation Will Become Critical
Liu Fang’s comments suggest that China’s aviation transformation will increasingly depend on ecosystem development rather than isolated technological breakthroughs.
For aviation companies, this means future competitiveness may come from the ability to integrate aircraft, infrastructure, software, and operational services. For technology and energy companies, aviation is becoming a new application area where expertise in digital systems and green technologies can create market opportunities.
International companies should also consider that market participation will require alignment with China’s regulatory environment, certification processes, and local partnerships. As new aviation sectors develop, access to the market may depend as much on ecosystem positioning as on technical capability.
What This Means for Business
Companies supplying aviation infrastructure, digital platforms, and safety technologies may benefit as China builds the foundation for large-scale low-altitude operations.
International aviation players should evaluate partnerships with Chinese operators, technology providers, and research institutions to navigate evolving standards.
Energy and industrial companies should monitor SAF development as policy support and investment expand the green aviation ecosystem.
Competitive advantage will increasingly depend on regulatory alignment, ecosystem participation, and the ability to support commercial-scale aviation operations.
Source
https://www.cata.org.cn/portal/content/show-content/23383/xwzx
Author
Dr. Richard van Ostende
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