(Yicai) June 12 -- Lilium, the German maker of electric vertical takeoff and landing aircraft, will locate its Asia-Pacific headquarters in Shenzhen, a city in China's southern Guangdong province with a complete drone supply chain and excellent low-altitude airspace conditions.

Lilium’s recently formed Chinese entity Powerful Wing signed an agreement with Shenzhen's Bao'an district to set up its regional HQ in the Bao'an Low Altitude Economy Industry Public Service Center, the Munich-based firm announced on June 10. Lilium will be the first European eVTOL manufacturer to base a regional office in the district.

Founded in 2014, Lilium’s main product is the Lilium Jet, an all-electric seven-seat eVTOL aircraft designed to offer leading capacity, low noise, and high performance with zero operating emissions. It can reach a speed of 162 knots. The Nasdaq-listed company expects to begin flight tests by the end of this year and obtain certifications next year.

The regional HQ will help Lilium manage sales and services of Lilium Jet in China and the APAC region, the company noted. Lilium will also undertake certification and validation in China, which is expected to account for about 25 percent of the global eVTOL market.

The collaboration will establish Lilium as an active and contributing industry player in the region's low-altitude economy, supporting relationships with local infrastructure partners, customers, and regulatory authorities, the firm noted. While the partnership initially focuses on the Greater Bay Area, Lilium intends to expand across China and the APAC region in the future.

“China represents a huge opportunity for the eVTOL industry, and this partnership with the Bao'an district will expand our footprint even further in China,” Chief Executive Klaus Roewe said.

“We believe the Lilium Jet is well placed to meet the demand of customers in China and across the region and are particularly grateful for the modern facilities provided by the Bao'an district in the Bao'an Low Altitude Economy Industry Public Service Center and for the holistic support they offer to encourage growth in the low altitude economy industry,” he said.

Last June, Lilium signed a deal with the Bao'an district and Chinese general aviation transportation and helicopter services provider Heli-Eastern, which plans to order 100 Lilium Jets. Lilium also joined hands with Citic Offshore Helicopter, China's only offshore oil helicopter operator, to build a network for the Lilium Jet in the Greater Bay Area, Hainan province, and Tianjin.

Shenzhen was home to 1,300 drone makers as of the end of 2022, whose output reached CNY75 billion (USD10.3 billion), accounting for almost 70 percent of China's total for unmanned aerial vehicles. The city’s UAV industry group predicts that by 2024, the domestic market will be worth CNY160 billion (USD22.1 billion). 

Editor: Futura Costaglione