(Yicai) Dec. 20 -- GAC Group recently updated its flying car brand, changing the name to GOVY from GOVE, as competition intensifies among Chinese vehicle manufacturers in the country’s burgeoning low-altitude economy, which refers to the use of drones and roadable aircraft in areas such as logistics, tourism and agriculture.

GAC released the prototype of the GOVY Airjet, the first composite wing flying car, at a press conference held on Dec. 18. The roadable aircraft will be equipped with a carbon fiber high-safety battery pack with an integrated efficiency of 82 percent and a high-density power system that will give it a range of more than 200 kilometers. Once GAC develops its own all-solid-state batteries, the range could be extended to 400 km.

GAC will apply for the airworthiness certificates next year, prepare production lines and start accepting reservations, according to the Guangzhou-based company’s development plan. It should begin offering flying car demonstration service plans in two or three cities in the Guangdong-Hong Kong-Macao Greater Bay Area by 2027.

GAC intends to set up a new company that will focus on developing its roadable aircraft business, said Wu Jian, director of GAC Research Institute. GAC will invest the funds needed to finance the research and development of its flying car project according to its development plan and it will strive to bring in private capital in the future.

The flying car market has great potential, said Su Qingpeng, head of flying car research and development at GAC Research Institute. We are currently in the first stage, where roadable aircraft are being used in sightseeing and short-distance experiential flights. This will then develop into the second stage featuring air taxis which will then lead to the third stage when air travel is a common mode of travel.

A number of automakers have joined the flying car segment as the low-altitude economy, which refers to drones and roadable aircraft that fly at altitudes between 100 meters and 1,000 m, offers significant opportunities. Xpeng AeroHt, a flying car firm under electric vehicle maker Xpeng Motors, has said that it plans to achieve mass production of its ‘Land Aircraft Carrier’ in 2026 and that each unit will have a pre-sale price of under CNY2 million (USD274,000). Changan Automobile has said it plans to be selling flying cars by 2026.

The scale of China's low-altitude economy market is expected to reach CNY1.5 trillion (USD205.5 billion) next year and CNY3.5 billion by 2035, according to the Civil Administration of China.

Editors: Tang Shihua, Kim Taylor